NEW YORK – The mood of U.S. consumers improved slightly this month after falling sharply in February, in preliminary results released today by The Conference Board.
The board’s Consumer Confidence Index improved in March to 26 points (1985 = 100) from last month’s record low of 25.3 points. The index, which dates back to 1967, is based on a survey conducted for The Conference Board by custom research firm TNS. The cutoff date for this month’s preliminary results was March 24.
New England had the lowest preliminary reading among the report’s nine regions. Its Consumer Confidence Index fell to 14.9 points from February’s 20.8 points and January’s 32.4 points.
Nationwide, however, “consumer confidence was relatively unchanged in March,” noted Lynne Franco, director of the policy and research group’s Consumer Research Center. But the Present Situation Index continued to decline, falling to 21.5 this month from 22.3 in February, which “suggests that the overall state of the economy remains weak and that more job losses are on the horizon. Apprehension about the outlook for the economy, the labor market and earnings continues to weigh heavily on consumers’ attitudes,” she said.
But the board’s Expectations Index, a leading index for the economy over the next six months or so, rose this month to 28.9 points from February’s 27.3 points. “Looking ahead,” Franco said, “consumers remain extremely pessimistic about the short-term future and do not foresee a turnaround in economic conditions over the coming six months.”
Analysts had expected the overall Confidence Index would rise to 28 points, from last month’s initial reading of 25 points, based on the median estimate from a Bloomberg News survey of 68 economists. (Their estimates of the March reading ranged from 21.2 points to 35.)
“Accumulating job losses, falling home prices, rising gasoline prices, tighter credit standards, and financial-market volatility have all damped household attitudes about the economy,” said Steven Wood, president of Insight Economics LLC in Danville, Calif.
The Conference Board is a nonpartisan, nonprofit business membership and research organization with offices in New York City, Chicago and abroad. Additional information, including the latest Consumer Confidence report, is available at www.Conference-Board.org.
Beyond Cash Donations: How New Forms of Giving Are Transforming Not-for-Profit Accounting
Evolving Funding Landscape for Not-for-Profits Not-for-profit organizations are being asked to do more with less,…
Learn More
