IndependentsJun 02, 2026
State of Retail: 6 Things Retailers Should Know About Consumers TodaySurveysJun 05, 2026
Consumers to Cut Back on Spending Amid Rising Prices, Survey Shows
When conducting its May consumer confidence survey, The Conference Board asked extra questions about consumers’ budgeting strategies.
Inflation weighed on consumers’ minds for the second month in a row, The Conference Board said when releasing its May consumer confidence survey. More survey-takers mentioned prices and oil and gas in their write-in responses, a signifier they are concerned about the inflationary impacts of the war in the Middle East, The Conference Board said.
New York—Consumer sentiment was essentially flat in May as higher prices persisted, and consumers told The Conference Board they are cutting back on spending because of inflation.
The Conference Board’s Consumer Confidence Index, its monthly, survey-based measure of how consumers are feeling about the economy, was 93.1 in May, down slightly from an upwardly revised 93.8 in April.
Consumers were feeling less optimistic about their current situation but had a rosier view of the near future, the survey shows.
The Conference Board’s Present Situation Index, which measures consumers’ outlook on current business and labor market conditions, fell 3.2 points month-over-month to 121.2. More survey-takers described business conditions as “bad” and jobs as “hard to get” in May.
However, the Expectations Index, which is based on consumers’ outlook on income, business, and labor market conditions six months from now, rose by one point to 74.4.
Two of the index’s three components, net expectations for business and net expectations for labor market conditions six months from now, rose though survey-takers were slightly less positive about expected household income.
Looking at specific demographics, confidence was up among consumers aged 35-54—a mix of Gen Xers and millennials—but trended downward for consumers who are younger than 35 and older than 54.
Consumer confidence also rose among higher-income groups and voters who are registered as Independent.
The Conference Board Chief Economist Dana M. Peterson pointed to the inflationary impacts of the ongoing war in the Middle East as the reason consumer confidence slipped in May.
She said: “Consumer appraisals of current business conditions and the current labor market were moderately less positive compared to last month. This was somewhat offset by modest improvements in consumers’ expectations for business conditions and the labor market six months from now.”
Related stories will be right here …
The Conference Board’s Consumer Confidence Index, its monthly, survey-based measure of how consumers are feeling about the economy, was 93.1 in May, down slightly from an upwardly revised 93.8 in April.
Consumers were feeling less optimistic about their current situation but had a rosier view of the near future, the survey shows.
The Conference Board’s Present Situation Index, which measures consumers’ outlook on current business and labor market conditions, fell 3.2 points month-over-month to 121.2. More survey-takers described business conditions as “bad” and jobs as “hard to get” in May.
However, the Expectations Index, which is based on consumers’ outlook on income, business, and labor market conditions six months from now, rose by one point to 74.4.
Two of the index’s three components, net expectations for business and net expectations for labor market conditions six months from now, rose though survey-takers were slightly less positive about expected household income.
Looking at specific demographics, confidence was up among consumers aged 35-54—a mix of Gen Xers and millennials—but trended downward for consumers who are younger than 35 and older than 54.
Consumer confidence also rose among higher-income groups and voters who are registered as Independent.
The Conference Board Chief Economist Dana M. Peterson pointed to the inflationary impacts of the ongoing war in the Middle East as the reason consumer confidence slipped in May.
She said: “Consumer appraisals of current business conditions and the current labor market were moderately less positive compared to last month. This was somewhat offset by modest improvements in consumers’ expectations for business conditions and the labor market six months from now.”
In May, the Conference Board asked survey-takers extra questions about their budget priorities now and in the next six months.
When asked how they have changed their overall spending habits because of higher prices, 67 percent of survey-takers said they are cutting back while 33 percent said they haven’t changed their spending habits (26 percent) or are spending more (7 percent).
When asked more specifically what they are doing right now to save money, 61 percent of consumers said they are buying fewer items; 50 percent are putting off the purchase of expensive items; and 47 percent are buying things they need, not things they want.
In addition, 47 percent of survey-takers said they were opting for less expensive versions of the things they normally purchase.
When asked how they plan to change their spending habits six months from now, half of respondents said they plan to delay purchases of expensive items.
Forty percent said they will buy the same items with the understanding their overall spending will increase, and 38 percent said they will go for products they need over products they want.
In May, The Conference Board asked survey-takers a special set of questions about their current and future spending habits, including a product-by-product breakdown of their budgets. (Chart courtesy of The Conference Board)
The Conference Board also asked survey-takers to outline their spending plans for the next six months on a product-by-product basis.
The results, which can be seen in the chart above, showed that the main areas where consumers plan to cut back are clothing and footwear—44 percent of consumers said they plan to spend less in this area—hobby items (34 percent), and games and toys (30 percent).
Consumers said they plan to maintain spending on essentials, with pharmaceuticals (64 percent), as well as groceries, personal care products, and household supplies (all 61 percent) ranking as the leading categories for maintained spending over the next six months.
The May consumer confidence survey, conducted for The Conference Board by technology company Toluna, was taken between May 1 and 19.
Editors' Picks
Sponsored by
More on Surveys
The Latest
CollectionsJul 17, 2026
HOWL Taps Shailene Woodley for ‘Home Sweet Home’ CampaignWoodley is seen in the campaign wearing our Piece of the Week, the “Frida” collar featuring 13 pieces of hand-carved Venetian glass.
SourcingJul 17, 2026
U.K. Woman Pays £5 for £15K Diamond Ring at Car Boot SaleA WeBuyVintage jewelry expert uncovered how much the flea market find was actually worth.
SourcingJul 17, 2026
Diamond Dealer Jeff Pancis Pens MemoirThe founder of natural colored diamond wholesaler Pancis Gems shares stories from his five decades in the industry.
Brought to you by
Wedding Band Trends 2026: Personalization Takes Center StageColored gemstones, artisan finishes, mixed metals, and meaningful details are shaping demand in bridal jewelry.
Events & AwardsJul 17, 2026
Gem Awards Opens 2027 Nomination PeriodSubmissions for the milestone 25th annual Gem Awards will be accepted across three categories from now through July 31.
Weekly QuizJul 17, 2026
This Week’s QuizTest your jewelry news knowledge by answering these questions.
EditorsJul 16, 2026
Q&A: Guzema’s Co-Owners On Its US Expansion, 10-Year AnniversaryValeriya Guzema and Mariana Lenha look back on the last decade and discuss the Ukrainian brand’s first U.S. store.
SourcingJul 16, 2026
Ekati to Close, Leaving Canada With One Diamond Mine The diamond mine, which opened nearly 30 years ago in Canada’s Northwest Territories, is expected to shut down by mid-August.
Brought to you by
Building the Future of Jewelry Retail: DCA Expands Education, Leadership Development, and Workforce SolutionsDCA is preparing the next generation of professionals by supporting workforce development, leadership growth, and career advancement.
FinancialsJul 16, 2026
Richemont’s Jewelry Sales Soar for the Seventh Quarter in a RowJewelry sales for the company, which owns Cartier, Van Cleef & Arpels, Vhernier, and Buccellati, rose 21 percent in the first quarter.
Events & AwardsJul 16, 2026
MJSA Mentor & Apprenticeship Program Certifies First Advanced Apprentice GraduateThe graduate, Grace Barden, credited the program with helping her secure a job as a bench jeweler.
Events & AwardsJul 16, 2026
Jewelers of Louisiana to Host 80th ConventionThe event, scheduled for next month in New Orleans, will include dinner, a custom jewelry design contest, and education sessions.
SourcingJul 15, 2026
1,305-Carat Diamond Recovered from Mine in BotswanaThe yet-to-be named stone is the 10th diamond weighing more than 1,000 carats to come out of Lucara’s Karowe mine.
IndependentsJul 15, 2026
New Jersey Jeweler Barry Berman Dies at 81The founder of Fords Jewelers, Berman is remembered for his love of connecting with his community.
FinancialsJul 15, 2026
Watches of Switzerland’s US Sales Jump 18%, Declines to Comment on Sale Report The watch and jewelry retailer had a strong fiscal year despite what its CEO described as a “complex operating backdrop.”
Events & AwardsJul 15, 2026
Hamptons Jewelry Show to Return in JulyThe open-to-the-public luxury jewelry and timepiece show, in its second year, is slated for July 23-26.
CollectionsJul 15, 2026
Pomellato’s New High Jewelry Is LiberatingBold color, expressive gem-setting, and sculptural form define the three chapters that make up “Stile Libero.”
IndependentsJul 14, 2026
Foundrae Opens First Standalone Store Outside USThe New York-based jewelry brand has expanded overseas, opening a store in London’s Mayfair district.
ColumnistsJul 14, 2026
Sherry Smith: What Today’s Jewelry Consumer Is Telling Us Rising revenue does not automatically mean a healthy business, particularly in the current economic landscape, Smith writes.
TrendsJul 14, 2026
Amanda’s Style File: Shoulder Dusters These long, fluid drop earrings are sure to catch the eye.
CrimeJul 14, 2026
Man Charged in $1M Jewelry Store Heist Lands on FBI Most Wanted ListAlberto Perez-Elias is one of four men charged with robbing a Cape Coral, Florida, jewelry store and is the only one still at large.
Events & AwardsJul 14, 2026
Conference on Mining, Sustainability Kicks Off in NYCInitiatives in Art and Culture is hosting its 16th annual Gold and Diamond Conference, with the theme of “Resilience.”
Lab-GrownJul 13, 2026
Stephanie Gottlieb Changes Her Mind on Lab-Grown DiamondsThe designer, who once said she’d never sell lab-grown diamonds, debuted two capsule collections designed to be fun and easy to wear.
SourcingJul 13, 2026
De Beers Announces Potential Layoffs, 2-Year Production Pause at VenetiaThe diamond miner and marketer is undergoing another round of cost-cutting measures ahead of its sale by Anglo American.
Events & AwardsJul 13, 2026
Registration Opens for JIS Fall 2026 ShowThe annual trade-only buying event is slated for Oct. 16-19 in Miami Beach, Florida.
Events & AwardsJul 13, 2026
AGTA Accepting Entries for Spectrum 2026AGTA also has announced the lineup of judges for the colored gemstone cutting and jewelry design contest’s various categories.
TechnologyJul 10, 2026
There’s a New Blind Box for Luxury Watches Collectibles platform Arena Club’s new Time Boxes could contain a Rolex or Patek Philippe watch.
TrendsJul 10, 2026
Jade Trau Creates a Constellation of DiamondsThe “Constellation Plié” collar, our Piece of the Week, features diamonds arranged in a constellation of shining stars.
