NEW YORK, Aug. 28, 2012 /PRNewswire/ -- The Conference Board Consumer Confidence Index®, which had improved in July, declined in August. The Index now stands at 60.6 (1985=100), down from 65.4 in July. The Expectations Index decreased to 70.5 from 78.4. The Present Situation Index, however, was virtually unchanged, at 45.8 versus 45.9 a month ago.
The monthly Consumer Confidence Survey®, based on a probability-design random sample, is conducted for The Conference Board by Nielsen, a leading global provider of information and analytics around what consumers buy and watch. The cutoff date for the preliminary results was August 16.
Says Lynn Franco, Director of Economic Indicators at The Conference Board: "The Consumer Confidence Index is now at its lowest level since late last year (Nov. 2011, 55.2). A more pessimistic outlook was the primary reason for this month's decline in confidence. Consumers were more apprehensive about business and employment prospects, but more optimistic about their financial prospects despite rising inflation expectations. Consumers' assessment of current conditions was virtually unchanged, suggesting no significant pickup or deterioration in the pace of growth."
Consumers' assessment of current conditions was little changed in August. Those claiming business conditions are "good" improved to 15.2 percent from 13.7 percent, while those saying business conditions are "bad" was unchanged at 34.4 percent. Consumers' appraisal of the labor market varied. Those stating jobs are "plentiful" declined to 7.0 percent from 7.8 percent, while those claiming jobs are "hard to get" edged down to 40.7 percent from 41.0 percent.
Consumers' optimism about the short-term outlook deteriorated in August. The percentage of consumers expecting business conditions to improve over the next six months declined to 16.5 percent from 19.0 percent, while those anticipating business conditions will worsen increased to 17.7 percent from 15.1 percent. Consumers' outlook for the labor market was also less favorable. Those expecting more jobs in the months ahead decreased to 15.4 percent from 17.6 percent, while those anticipating fewer jobs rose to 23.4 percent from 20.6 percent. The proportion of consumers expecting an increase in their incomes, however, improved to 15.7 percent from 14.2 percent.
The Conference Board Consumer Confidence Survey®
About The Conference Board
The Conference Board is a global, independent business membership and research association working in the public interest. Our mission is unique: To provide the world's leading organizations with the practical knowledge they need to improve their performance and better serve society. The Conference Board is a non-advocacy, not-for-profit entity holding 501 (c) (3) tax-exempt status in the United States. www.conference-board.org
Nielsen Holdings N.V. (NYSE: NLSN) is a global information and measurement company with leading market positions in marketing and consumer information, television and other media measurement, online intelligence, mobile measurement, trade shows and related properties. Nielsen has a presence in approximately 100 countries, with headquarters in New York, USA and Diemen, the Netherlands. For more information, visit www.nielsen.com.
SOURCE The Conference Board Consumer Confidence Survey