SurveysJul 06, 2022
A Recession Is Unlikely, Says NRF EconomistSurveysAug 02, 2022
Consumer Confidence Falls for Third Month in July
Rising prices and interest rate hikes are expected to weigh on consumer spending and economic growth over the next six months.
The Conference Board’s consumer confidence index fell to 95.7 in July from 98.4 in June, marking the third consecutive decline.
New York—U.S. consumer confidence fell for the third consecutive month in July, weighed down by inflation concerns.
The Conference Board’s consumer confidence index fell to 95.7 in July from 98.4 in June.
“As the Fed raises interest rates to rein in inflation, purchasing intentions for cars, homes, and major appliances all pulled back further in July,” said Lynn Franco, senior director of economic indicators at The Conference Board.
The consumer price index, which measures the average change in prices over time consumers will pay for a basket of goods and services, rose 1.3 percent month-over-month in June and 9.1 percent year-over-year, exceeding analyst estimates to mark the fastest pace for inflation since November 1981.
Franco noted the decrease in consumer confidence was driven by a decline in the Present Situation Index, which measures consumers’ outlook on current business and labor market conditions, and signals that growth has slowed at the start of the third quarter.
The Present Situation Index fell to 141.3 in July from 147.2 last month.
The percentage of consumers who said current business conditions are “good” decreased to 17 percent month-over-month from 19.5 percent, while those who said conditions were “bad” also increased, up to 24 percent, compared with 22.8 percent in June.
Consumers also had a bleak view of the labor market, with 50.1 percent of respondents saying jobs are “plentiful,” down from 51.5 percent last month.
More consumers felt jobs were “hard to get,” up to 12.3 percent from 11.6 percent in June.
Related stories will be right here …
The Conference Board’s consumer confidence index fell to 95.7 in July from 98.4 in June.
“As the Fed raises interest rates to rein in inflation, purchasing intentions for cars, homes, and major appliances all pulled back further in July,” said Lynn Franco, senior director of economic indicators at The Conference Board.
The consumer price index, which measures the average change in prices over time consumers will pay for a basket of goods and services, rose 1.3 percent month-over-month in June and 9.1 percent year-over-year, exceeding analyst estimates to mark the fastest pace for inflation since November 1981.
Franco noted the decrease in consumer confidence was driven by a decline in the Present Situation Index, which measures consumers’ outlook on current business and labor market conditions, and signals that growth has slowed at the start of the third quarter.
The Present Situation Index fell to 141.3 in July from 147.2 last month.
The percentage of consumers who said current business conditions are “good” decreased to 17 percent month-over-month from 19.5 percent, while those who said conditions were “bad” also increased, up to 24 percent, compared with 22.8 percent in June.
Consumers also had a bleak view of the labor market, with 50.1 percent of respondents saying jobs are “plentiful,” down from 51.5 percent last month.
More consumers felt jobs were “hard to get,” up to 12.3 percent from 11.6 percent in June.
The Expectations Index, which measures consumers’ short-term outlook for income, business, and labor market conditions, fell to 65.3 from 65.8.
“The Expectations Index held relatively steady, but remained well below a reading of 80, suggesting recession risks persist. Concerns about inflation—rising gas and food prices, in particular—continued to weigh on consumers,” Franco said.
As for the business outlook, fewer respondents expect business conditions to improve, down to 14 percent from 14.6 percent in June.
However, fewer expect conditions to worsen, down to 27.2 percent from 29.7 percent last month.
Consumers’ view of the short-term labor market was also mixed, with only slightly fewer respondents expecting more jobs to be available, down to 15.7 percent from 15.9 percent.
But, fewer respondents also expect there to be fewer jobs, down to 21.4 percent from 22.2 percent.
Consumers were less optimistic about short-term financial prospects, with 14.7 percent expecting incomes to increase, down from 16.1 percent last month.
More respondents expect their incomes to decrease, up to 15.7 percent from 15.3 in June.
Franco shared her prediction for the months ahead.
“Looking ahead, inflation and additional rate hikes are likely to continue posing strong headwinds for consumer spending and economic growth over the next six months.”
More on Surveys
The Latest
EditorsNov 07, 2025
Piece of the Week: An MVP’s Sapphire Tennis Necklace At the 2025 World Series, the Los Angeles Dodgers’ Yoshinobu Yamamoto sported a custom necklace made by California retailer Happy Jewelers.
IndependentsNov 07, 2025
Foundrae’s New Palm Beach Location Is a ‘Golden Solarium’The brand’s seventh location combines Foundrae’s symbolic vocabulary with motifs from Florida’s natural surroundings.
FinancialsNov 07, 2025
Watches of Switzerland’s H1 Sales Up 8%The retailer also shared an update on the impact of tariffs on watch customers.
Brought to you by
Jewelers of America Aligns New Mission to Create Meaningful Impact for MembersFrom educational programs, advocacy, and recent MJSA affiliation, Jewelers of America drives progress that elevates businesses of all sizes.
SourcingNov 06, 2025
Pink Tourmaline Bracelet, Emerald Suite Take Top Spectrum Honors Pink and purple stones were popular in the AGTA’s design competition this year, as were cameos and ocean themes.
Weekly QuizNov 06, 2025
This Week’s QuizTest your jewelry news knowledge by answering these questions.
IndependentsNov 06, 2025
Greenwich St. Jewelers Hosts Raffle Supporting Food RescueAll proceeds from the G. St x Jewel Boxing raffle will go to City Harvest, which works to end hunger in New York City.
IndependentsNov 06, 2025
Cornell’s Jewelers Names New PresidentCourtney Cornell is part of the third generation to lead the Rochester, New York-based jeweler.
SourcingNov 06, 2025
De Beers’ Production, Sales Increase in Q3 De Beers also announced more changes in its upper ranks ahead of parent company Anglo American’s pending sale of the company.
WatchesNov 05, 2025
Shinola President Steps Down Just as He Starts Former Signet CEO Mark Light will remain president of Shinola until a replacement for Ulrich Wohn is found.
AuctionsNov 05, 2025
Taylor Swift’s Engagement Ring Designer Makes Her Auction DebutKindred Lubeck of Artifex has three rings she designed with Anup Jogani in Sotheby’s upcoming Gem Drop sale.
FinancialsNov 05, 2025
Pandora Posts Modest Q3 Sales Growth Amid ‘Weak’ Consumer Sentiment The company focused on marketing in the third quarter and introduced two new charm collections, “Pandora Talisman” and “Pandora Minis.”
FinancialsNov 05, 2025
Brilliant Earth’s Q3 Sales Climb 10%The jewelry retailer raised its full-year guidance, with CFO Jeff Kuo describing the company as “very well positioned” for the holidays.
Policies & IssuesNov 04, 2025
Supreme Court to Hear Tariffs Case WednesdayAhead of the hearing, two industry organizations co-signed an amicus brief urging the court to declare Trump’s tariffs unlawful.
MajorsNov 04, 2025
Danny Clark to Become Stuller CEO, Succeeding Matt StullerStuller COO Belit Myers will take on the additional role of president, with all changes effective at the start of 2026.
ColumnistsNov 04, 2025
Peter Smith: What Do Birds Have to Do With the Price of Gold? Smith cautions retailers against expending too much energy on things they can’t control, like the rising price of gold.
TrendsNov 04, 2025
Amanda’s Style File: Fall Colors for November BirthdaysCitrine and topaz are birthstones fit for fall as the leaves change color and the holiday season approaches.
IndependentsNov 04, 2025
Weston Jewelers Heads to Fort LauderdaleThe family-owned jeweler will open its fourth store in Florida in late 2027.
CrimeNov 03, 2025
Men Dressed as Construction Workers Burglarize Jeweler’s Home The NYPD is looking for three men who stole a safe and jewelry valued at $3.2 million from the home of a jeweler in Jamaica Hills, Queens.
MajorsNov 03, 2025
Matthew Rosenheim Takes Over as JA Board ChairThe trade organization also announced its executive committee and five new directors.
CollectionsNov 03, 2025
Muse’s ‘Have a Heart’ Collab Returns, Now With DDGThe “Have a Heart x Diamonds Do Good” collection is championed by model and humanitarian Flaviana Matata and will benefit her foundation.
AuctionsNov 03, 2025
Kashmir Sapphire Ring Tops Christie's Online AuctionThe ring, set with a nearly 17-carat Kashmir cabochon sapphire, sold for $1 million.
TrendsOct 31, 2025
Piece of the Week: A Spinner Fit for ‘Frankenstein’This “Mother Father” spinner necklace from Heavenly Vices Fine Jewelry draws inspiration from Victorian Era jewelry.
CrimeOct 31, 2025
5 More Arrested in Louvre Heist, Jewelry Still Missing The suspects were rounded up in Paris and its suburbs on Wednesday night, but none of the stolen jewels were recovered with them.
Recorded WebinarsOct 31, 2025
Watch: How to Master Google Reviews for Your BusinessExperts share top tips on how to encourage positive reviews and handle negative feedback.
Supplier BulletinOct 30, 2025
Protect Your Customers and Your BusinessSponsored by the Gemological Institute of America
CrimeOct 30, 2025
29-Year-Old Man Charged in Multiple Seattle-Area Smash and Grabs The suspect faces charges in the August robbery of Menashe & Sons Jewelers and is accused of committing smash and grabs at two pawn shops.
