United States: Consumer confidence rebounds in March
March 31, 2015
The Conference Board consumer confidence index increased to 101.3 points in March from a revised 98.8 points in February (previously reported: 96.4 points). January’s reading had marked the highest point since August 2007. February’s result was weaker than the 99.1 points expected by the market and represented the largest monthly loss in 16 periods.
March’s increase in confidence was driven by an improvement in consumers’ expectations regarding business conditions over the next six months and a better outlook on the future of the job market. In contrast, consumers were less upbeat about current economic conditions.
The director of the Board explained that, “consumer confidence improved in March after retreating in February. This month’s increase was driven by an improved short-term outlook for both employment and income prospects; consumers were less upbeat about business conditions. Consumers’ assessment of current conditions declined for the second consecutive month, suggesting that growth may have softened in Q1, and doesn’t appear to be gaining any significant momentum heading into the spring months.”
Author: Carl Kelly, Economist