Economy: Consumer Confidence Index (CCI) for September 2022

Consumer Confidence Index® (CCI) for this month (September 2022) was released by The Conference Board® this morning:

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Predicted: 105.0

Actual: 108.0

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Previous Month (revised): 103.6

Change from Previous Month: +4.28% (+4.4 points)

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The "predicted" figure is what economists were expecting, while the "actual" is the true or real figure.

From Today's Report:

"...The Conference Board Consumer Confidence Index® increased in September for the second consecutive month. The Index now stands at 108.0 (1985=100), up from 103.6 in August. The Present Situation Index -- based on consumers’ assessment of current business and labor market conditions -- rose to 149.6 from 145.3 last month. The Expectations Index -- based on consumers’ short-term outlook for income, business, and labor market conditions -- increased to 80.3 from 75.8.

'Consumer confidence improved in September for the second consecutive month supported in particular by jobs, wages, and declining gas prices,'said Lynn Franco, Senior Director of Economic Indicators at The Conference Board. 'The Present Situation Index rose again, after declining from April through July. The Expectations Index also improved from summer lows, but recession risks nonetheless persist. Concerns about inflation dissipated further in September -- prompted largely by declining prices at the gas pump -- and are now at their lowest level since the start of the year.'

'Meanwhile, purchasing intentions were mixed, with intentions to buy automobiles and big-ticket appliances up, while home purchasing intentions fell. The latter no doubt reflects rising mortgage rates and a cooling housing market. Looking ahead, the improvement in confidence may bode well for consumer spending in the final months of 2022, but inflation and interest-rate hikes remain strong headwinds to growth in the short term.'..."

Every month, The Conference Board sends a questionnaire to 5,000 U.S. households. Survey participants are polled about their feelings regarding the U.S. economy, current and future, and about their own fiscal circumstances. On average, 3,500 participants complete and return the 5-question survey.

The baseline "100" score for the CCI is associated with 1985 survey data.

When consumers feel good about the economy, they tend to do more spending, and vice versa.

Based in New York City, The Conference Board is a private, not-for-profit organization with a mission to, "create and disseminate knowledge about management and the marketplace to help businesses strengthen their performance and better serve society."

The CCI is usually released on the last Tuesday of the month.

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