Consumer Confidence in the United States Falls to Lowest Since November

Consumer confidence in the United States fell in May, less strongly than expected but nevertheless falling to the lowest since November, with current conditions looking worse than before, according to the index published Tuesday by the Conference Board.

The general index fell to 102.3 points. That of April, revised upwards, was 103.7.

Although confidence has fallen, it remains much higher than expected, since analysts were expecting 99 to 99.5 points, according to different consensuses.

“Consumer sentiment on current conditions has become somewhat less optimistic and their expectations have remained gloomy,” said Ataman Ozyildirim, director of economics at The Conference Board, quoted in the statement.

In detail, the index measuring their perception of current conditions fell to 148.6 points, against 151.8 last month.

The one measuring their perception of future conditions fell to 71.5 points, against 71.7 in April, below the 810 point mark since February 2022 – with one exception in December.

Their perception of the employment situation, in particular, has deteriorated.

“Expectations for jobs and income over the next six months have remained relatively stable,” said Ataman Ozyildirim, noting a “particularly noticeable deterioration in the outlook among consumers over 55”.

And inflation, still high, remains a concern for American consumers.

Inflation in the United States, which had been slowing for several months, rose again in April, according to the PCE index, favored by the Federal Reserve (Fed), at 4.4%, against 4.2% on a year, and 0.4% against 0.1% over one month.

As for the CPI inflation index, which is used in particular to calculate pensions, it also slowed down in April over one year, to 4.9%, but accelerated over one month, to 0.4 %.