On Tuesday, the Conference Board, a business research group, announced that the consumer confidence index rose to 118.9 in June from 117.6 in May, which was estimated by analysts to drop slightly to 116 this month. The increase in consumer confidence indicates that Americans expects the economy to expand.
According to the report by the Conference Board, 30.8%, which is nearly a third of respondents believe current business conditions are “good”, and 30% believe jobs are “plentiful”. 12.7% of respondents believe business conditions as “bad”, while 18% said jobs are “hard to get”.
In addition, the Present Situation Index rose to 146.3 from 140.6, and the Expectations Index declined to 100.6 from 102.3 last month.
“Consumer confidence increased moderately in June following a small decline in May. Consumers’ assessment of current conditions improved to a nearly 16-year high. Expectations for the short-term have eased somewhat, but are still upbeat,” Lynn Franco, the director of economic indicators at the Conference Board, said in the statement.
“Overall, consumers anticipate the economy will continue expanding in the months ahead, but they do not foresee the pace of growth accelerating,” Lynn said.