After rising for the last two months, consumer confidence has taken a slight step back.
The Conference Board's Consumer Confidence Index, which increased a total of more than 12 points during August and September, declined in October. The Index now stands at 97.6, down from 102.6 last month.
Additionally, the Present Situation Index decreased from 120.3 last month to 112.1 in October, while the Expectations Index edged down to 88.0 from 90.8 in September.
The Conference Board reports that consumers' appraisal of current conditions was somewhat less positive in October. Those saying that business conditions are "good" decreased from 28.1 percent to 26.5 percent, while those claiming business conditions are "bad" increased from 16.4 percent to 18.3 percent.
Consumers were similarly less upbeat about the job market. Those stating jobs are "plentiful" decreased from 24.8 percent to 22.2 percent, while those claiming jobs are "hard to get" edged up to 25.8 percent from 24.9 percent.
Consumers' optimism about the short-term outlook was also more subdued in October. The percentage of consumers expecting business conditions to improve over the next six months was unchanged at 18.1 percent, while those expecting business conditions to worsen inched up to 10.6 percent from 10.4 percent.
"Consumer confidence declined in October, following September's modest gain," said Lynn Franco, Director of Economic Indicators at The Conference Board. "Consumers were less positive in their assessment of present-day conditions, in particular the job market, and were moderately less optimistic about the short-term outlook. Despite the decline, consumers still rate current conditions favorably, but they do not anticipate the economy strengthening much in the near-term."
The monthly Consumer Confidence Survey, based on a probability-design random sample, is conducted for The Conference Board by Nielsen, a global provider of information and analytics around what consumers buy and watch.
Source: The Conference Board