Consumer Confidence Declined in December

The Conference Board Consumer Confidence Index decreased 8.3 points to 128.1 in December. The Present Situation Index decreased 1.1 points to 171.6. The Expectations Index fell 13.2 points to 99.1.

“Consumer Confidence decreased in December, following a moderate decline in November,” said Lynn Franco, Senior Director of Economic Indicators at The Conference Board. “Expectations regarding job prospects and business conditions weakened, but still suggest that the economy will continue expanding at a solid pace in the short-term. While consumers are ending 2018 on a strong note, back-to-back declines in Expectations are reflective of an increasing concern that the pace of economic growth will begin moderating in the first half of 2019.”

Consumers’ labor market outlook was less favorable in December. The percentage of consumers expecting more jobs in the coming months decreased 6.1 points to 16.6 percent, while the share of those anticipating fewer jobs increased, rising 3.2 points to 14.4 percent. Income expectations decreased, as 22.4 percent of consumers expected their incomes to increase in coming months. The proportion expecting a decline increased from 7.2 percent to 7.7 percent.

Read the Conference Board release.