The Present Situation Index increased from 110.9 last month to 115.3 in December, while the Expectations Index improved to 83.9 from 80.4 in November.
“Consumer confidence improved in December, following a moderate decrease in November,” said Lynn Franco, director of economic indicators at The Conference Board. “As 2015 draws to a close, consumers’ assessment of the current state of the economy remains positive, particularly their assessment of the job market. Looking ahead to 2016, consumers are expecting little change in both business conditions and the labor market. Expectations regarding their financial outlook are mixed, but the optimists continue to outweigh the pessimists.”
The monthly Consumer Confidence Survey, based on a probability-design random sample, is conducted for The Conference Board by Nielsen, a leading global provider of information and analytics around what consumers buy and watch. The cutoff date for the preliminary results was December 15.
Consumers’ appraisal of current conditions was mixed in December. Those saying business conditions are “good” increased from 25% to 27.3%. However, those saying business conditions are “bad” also increased from 16.9% to 19.8%.
Consumers, however, were more positive about the labor market. The proportion claiming jobs are “plentiful” increased from 21% to 24.1%, while those claiming jobs are “hard to get” decreased to 24.7% from 25.8%.
Consumers’ optimism about the short-term outlook was somewhat mixed in December. Those expecting business conditions to improve over the next six months decreased slightly to 15.2% from 15.7%. However, those expecting business conditions to worsen increased slightly to 11% from 10.6%.
Consumers’ outlook for the labor market was more optimistic. Those anticipating more jobs in the months ahead increased slightly to 12.9% from 12%, while those anticipating fewer jobs decreased from 18.5% to 16.6%. The proportion of consumers expecting their incomes to increase declined from 17.3% to 16.3%. However, the proportion expecting a reduction in income decreased from 11.8% to 9.7%.
Like this story? Begin each business day with news you need to know! Register now for FREE Daily E-News Broadcast and start YOUR day informed!
Deborah Baker faced a dilemma the summer before she began college. She was all set to work alongside her best friend at Ponderosa Steakhouse when her mother, who worked for AT&T Capital, arranged a summer contracting position for her. Baker... read more
Robert Preville is a serial entrepreneur and investor constantly on the move, having founded and led several high-growth companies in the B2B arena before leading APPROVE, an embedded finance software. Earning this year’s Disruptor Icon award, Preville’s approach to leadership... read more