August 26, 2014

Consumer confidence increased again in August according to the Conference Board's Consumer Confidence Index.

The index is up about two points from July's 90.3 and now stands at 92.4. A perfect score is 100.

The Present Situation Index increased again from 87.9 to 94.6, but unlike last month, the Expectations Index decreased from 91.9 to 90.9. This means consumers' assessment of the current conditions increased, but what they expect to see in the future dipped slightly.

In a prepared statement released by the Conference Board, Director of Economic Indicators Lynn Franco said, "Consumer confidence increased for the fourth consecutive month as improving business conditions and robust job growth helped boost consumers' spirits. Looking ahead, consumers were marginally less optimistic about the short-term outlook compared to July, primarily due to concerns about their earnings. Overall, however, they remain quite positive about the short-term outlooks for the economy and labor market."

According to the results, consumers were somewhat mixed about the outlook for the labor market. Last month, 18.7 percent anticipated more jobs in the coming months, but in, only 17 percent felt that way. The percentage of people anticipating fewer jobs declined from 16.6 percent to 15.8. Only 15.5 percent of consumers expected their incomes to grow, versus 17.7 percent in July.

Despite those numbers, there were some positive changes for consumers' view of the job market. There was a 3-point-jump in the percentage of people who stated that jobs are plentiful, increasing to 18.2 percent from 15.6. The percentage of people claiming that job are hard to get dropped slightly from 30.9 percent to 30.6.

The Consumer Confidence Survey is performed monthly for the Conference Board by Nielsen. The cutoff date for the preliminary results was Aug. 14.