Consumer Confidence Rises in January

NEW YORK–The Conference Board’s Consumer Confidence Index reached 55.9 this month, up 2.3 points from its December reading.

Both of the index’s component indicators, the Present Situations Index and the Expectations Index, also rose in the January survey—with the former gaining 4.8 points to 25.0, and the latter picking up 0.6 points to finish at 76.5. Lynn Franco, director of the The Conference Board’s Consumer Research Center, noted that this marked the third month in a row that the overall index gained ground. However, “Consumers’ short-term outlook, while moderately more positive, does not suggest any significant pickup in activity in the coming months,” Franco said.

This month’s survey found increases in the percentage of respondents who felt that business conditions are “good” and “bad.” The participants’ assessment of the jobs market improved somewhat, with an increase in the percentage of those who felt that jobs are “plentiful,” and a decline in the percentage who said jobs are “hard to get.”

“Regarding their financial situation,” Franco said, “while consumers were less dire about their income prospects than in December, the number of pessimists continues to outnumber the optimists.”