The Conference Board’s Consumer Confidence Index® increased by 2.2 points in February to 91.2 (1985=100), from an upwardly revised 89.0 in January, the think tank reported Tuesday.
An improvement in consumers’ expectations for the next six months offset a decline in their assessment of current conditions, resulting in the net upturn in the overall index.
Four of the five components of the Index improved from the previous month:
- Business condition expectations improved.
- Labor market (job availability) expectations improved.
- Views on present employment conditions (jobs plentiful) improved.
- Income prospect expectations improved.
- Assessment of current business conditions declined.
More consumers said they plan to buy big-ticket items over the next six months in February, as the number who said “yes” and “maybe” to such purchases increased, while the number of those who said “no” declined.
The top items among their potential purchases include traditionally popular big-ticket buys:
- Used cars.
- Furniture.
- Televisions.
- Smartphones.
Regarding the national economy, measures not factored into the Conference Board’s Consumer Confidence Index® show that a smaller share of consumers now think that it’s “very likely” there will be a recession in the next 12 months, while more think it’s “not likely.” Meanwhile, the percent believing the U.S. is already in a recession dipped.
