Consumer Confidence on the Rise in June

SurveysJul 10, 2023

Consumer Confidence on the Rise in June

Consumer spending may shift to services as “revenge spending” on post-pandemic travel slows, said the Conference Board.

Hand holding shopping bags
The Conference Board’s consumer confidence index rose to 109.7 in June from 102.5 in May.
New York—U.S. consumers were feeling more confident in June as younger consumers’ outlook on the current and future economic situation brightened, though fears of a recession still loom.
The Conference Board’s consumer confidence index rose to 109.7 in June from a slightly upwardly revised 102.5 in May.
“Consumer confidence improved in June to its highest level since January 2022, reflecting improved current conditions and a pop in expectations,” said Dana Peterson, chief economist at The Conference Board. 

“Greater confidence was most evident among consumers under age 35, and consumers earning incomes over $35,000. Nonetheless, the expectations gauge continued to signal consumers anticipating a recession at some point over the next six to 12 months.”

The Present Situation Index, which measures consumers’ current view of business and labor market conditions, rose to 155.3 from 148.9 in May.

Consumers’ assessment of current business conditions was more positive in June.

The percentage of respondents who said current business conditions are “good” was up to 24 percent from 20 percent in May, while those who said conditions were “bad” decreased, down to 16 percent from 17 percent.
Consumers also had a more positive view of the labor market.
The percentage of respondents who felt jobs were plentiful was up to 47 percent in June from 43 percent in May, while 12 percent said jobs were “hard to get” compared with 13 percent the previous month.
 Related stories will be right here … 

The Expectations Index, which measures consumers’ outlook for income, business, and labor market conditions in the near future, rose to 79.3 from 71.5 in May.

The Expectations Index has remained below 80—the level associated with a recession within the next year—every month since February 2022, with the exception of a brief uptick in December 2022, according to the Conference Board.

Still, June’s reading fell just below that threshold, the organization pointed out, and increased significantly when compared with May.

Consumers were slightly more optimistic about the short-term business conditions outlook, with 14 percent expecting business conditions to improve, up from 13 percent in May.
Fewer respondents expect business conditions to worsen—18 percent compared with 21 percent.
Consumers’ view of the short-term labor market also was upbeat.
More respondents expect more jobs to be available, up to 16 from 14 percent. 
Meanwhile, 16 percent expect there to be fewer jobs, down from 21 percent in May.

“Assessments of the present situation rose in June on sunnier views of both business and employment conditions. Indeed, the spread between consumers saying jobs are ‘plentiful’ versus ‘not so plentiful’ widened, indicating upbeat feelings about a labor market that continues to outperform,” said Peterson.

Improving expectations about the next six months also signal greater confidence in future business conditions and job availability, she said.

Consumers’ short-term income expectations, however, were more pessimistic.
Fewer respondents expect to see their incomes increase, down to 17 percent from 19 percent in May, while 12 percent expect their incomes to decrease, up from 11 percent.
The Conference Board recently added a new set of questions to its monthly survey, asking consumers how they felt about their family finances.

In June, respondents’ answers reflected “largely healthy” family finances, said the Conference Board.

The number of respondents who described their current family financial situation as “good” remained essentially flat in June, holding around 29 percent.  

Fewer respondents described their family financial situation as “bad,” down to 18 percent from 20 percent.

Looking ahead, consumers’ outlook on their family finances in six months’ time improved.

Thirty percent of respondents said they expect their family finances to be “better,” up from 29 percent in May, while 14 percent expect them to be “worse,” down from 15 percent.

“This positive outlook might reflect consumers’ expectation that labor market conditions will remain favorable and that there may be further declines in inflation ahead,” said the Conference Board.

The Conference Board also added a measure to gauge respondents’ thoughts on a recession.

In June, 69 percent of consumers said a recession is “somewhat” or “very likely,” down from 73 percent in May.

Recession fears had been rising steadily since August 2022, said the Conference Board, but “eased considerably” in June.

Notably, plans to make big purchases, both automobiles and home, have slowed down after seeing an uptick earlier in the year.

This may be in response to the rising costs of financing those items as the Federal Reserve continues to raise interest rates, said the Conference Board.

Vacation plans within the next six months are also flagging, led by a decline in plans for domestic travel.

“This is an important indicator of desire to spend on services ahead, which may be a signal that post-pandemic ‘revenge spending’ on travel may have peaked and is likely to slow over the rest of this year,” said Peterson.

The consumer confidence stats for July will be available July 25. 

The Latest

Lightbox x Roséate Light Wand pendants
Lab-GrownDec 01, 2023
Lightbox Teams Up With Brand Founded by Former Tiffany Exec

The lab-grown diamond brand also collaborated with the website The Future Rocks on a collection launching today.

Lila Moss Calvin Klein campaign
FinancialsDec 01, 2023
Movado Lowers Guidance Again After Q3 Sales Dip

The company said it is facing a “challenging retail environment” but is prepared for the holiday season.

Muzo emerald and argyle pink diamond necklace
CollectionsDec 01, 2023
Piece of the Week: Muzo’s Emerald and Argyle Pink Diamond Necklace

It’s the hero piece of the newest "Green Jewel" collection, a collaborative offering from the two mines.

Platinum  Guild International Diamond Rings
Brought to you by
If It’s Custom, Make It Platinum

With holiday proposals right around the corner, encourage your customers to go for platinum when making the big purchase.

Pink Supreme Diamond
AuctionsNov 30, 2023
This Pink Diamond Reigned Supreme in Hong Kong

The 15.48-carat fancy intense “Pink Supreme” topped Christie’s fall jewelry auction in Asia, while a Patek Philippe led the watch sale.

Weekly QuizNov 30, 2023
This Week’s Quiz
Test your jewelry news knowledge with this short test.
Take the Quiz
Claire’s CFO COO Chris Cramer
MajorsNov 30, 2023
Claire’s Hires Former Bath & Body Works Exec as CFO, COO

Chris Cramer, who also spent time at Gen Z intimates brand Parade, will take on the dual role.

133 carat yellow diamond
AuctionsNov 30, 2023
Sotheby’s To Auction 133-Carat Yellow Diamond

The stone headlining the upcoming sale could fetch up to $5 million.

Brought to you by
Did You Know? The Vital Role of IGI: The International Gemological Institute

In a world where the sparkle of a gemstone is only as brilliant as the trust behind it, IGI's purpose is truly invaluable.

Kwiat diamonds
IndependentsNov 30, 2023
Frank Adams Rolls Out Kwiat’s ‘Mine to Shine’ Program

The retail offering lets customers track their diamond’s journey.

Diamond development hub in Angola
SourcingNov 29, 2023
Largest New Diamond Mine of the Decade Coming Online in Angola

The Luele mine is expected to eventually make the country the world’s third-largest diamond producer.

Cast StyleBar Nordstrom
MajorsNov 29, 2023
Cast Debuts at Nordstrom, Closes on More VC Funding

The growing company also plans to open more of its own boutiques.

EditorsNov 29, 2023
Warren Buffett on Success, Mistakes and Betting on America

The best quotes from the Oracle of Omaha and his right-hand man Charlie Munger from the 2018 Berkshire Hathaway shareholders meeting.

J. Dostie Jewelers
IndependentsNov 28, 2023
Maine Jeweler to Relocate After 76 Years

J. Dostie Jewelers will move from Lewiston to Yarmouth this spring.

Finks Jewelers new store
IndependentsNov 28, 2023
Fink’s Jewelers Opens 10th Store

It’s the company’s second location in Tennessee.

Mary Tyler Moore and a pair of Elsa Peretti Bone Cuffs
AuctionsNov 28, 2023
Mary Tyler Moore’s Jewelry Is Up For Auction

You can have this jewelry, why don’t you take it?

Original Miami Beach Antique Show 2024
Events & AwardsNov 28, 2023
The Original Miami Beach Antique Show Is Celebrating 60 Years

Next year’s milestone show will be full of educational programming and collaborations.

De Beers Metamorphosis high jewelry earrings
EditorsNov 27, 2023
10 Tips for Selling Diamonds This Holiday Season

Sales experts and a diamantaire share their best advice on how to send customers home with diamond jewelry.

Platinum Born new collection
CollectionsNov 27, 2023
See the New ‘Platinum Born’ Jewelry

The brand has released five new collections.

Frank Adams Jewelers
IndependentsNov 27, 2023
Frank Adams Jewelers Named ‘Family Business of the Year’

The Albany Business Review recently honored the 100-year-old company.

GIA Dr. John W. Valley
GradingNov 27, 2023
Dr. John W. Valley Retires from GIA Board of Governors

To honor his legacy, GIA has set up a scholarship in his name.

Stock image of police car with its lights on
CrimeNov 22, 2023
JSA Warns of Surge in Attacks on Jewelers on the Road

There have been eight attacks in the last month, spanning from a jewelry store parking lot in Rhode Island to highways in California.

Buddha Mama citrine bangle
TrendsNov 22, 2023
Amanda’s Style File: November Glow

These 15 pieces of jewelry celebrate November babies and the hues of citrine and topaz that reflect the colors of the season.

Columbia Gem House fundraiser
SourcingNov 22, 2023
Columbia Gem House Raises $12K for Wildlife

The money will help a nonprofit rehabilitate sea turtles.

Facet Barcelona factory opening
MajorsNov 22, 2023
Facet Barcelona Opens New Factory in Spain

The jewelry manufacturer said it can now better serve the North American market.

David Yurman holiday campaign
TechnologyNov 21, 2023
See David Yurman’s New High-Tech Holiday Campaign

The jewelry brand takes viewers through a virtual winter wonderland set in New York City.

2023 Rock the Jewels Awards winners
Events & AwardsNov 21, 2023
Here Are the Winners of BIJC’s Inaugural ‘Rock the Jewels’ Awards

The organization recognized outstanding industry players at its celebratory event.

Rough diamonds from De Beers Gahcho Kue mine
SourcingNov 21, 2023
De Beers’ Rough Diamond Sales Sink to $80M

India’s voluntary moratorium on rough diamond imports coupled with a stunted recovery in China continue to impact the miner.


This site uses cookies to give you the best online experience. By continuing to use & browse this site, we assume you agree to our Privacy Policy