The Conference
Board (CB) announced on Tuesday its U.S. consumer confidence index declined 5.4
points to 104.1 in January 2025 from an upwardly revised 109.5 (from 104.7) in December
2024.
Economists had anticipated
the consumer confidence index to drop to 105.6.
The details of
the survey revealed that the present situation index (-9.7 points to 134.3 this
month) and the expectations index (-2.6 points to 83.9) both fell this month.
Commenting on
the findings of the last survey, Dana M. Peterson, Chief Economist at The
Conference Board, noted that consumer confidence had been moving sideways in a
relatively stable, narrow range since 2022 and January was no exception. “The
Index weakened for a second straight month, but still remained in that range,
even if in the lower part,” she added. "All five components of the Index
deteriorated but consumers' assessments of the present situation experienced
the largest decline. Notably, views of current labour market conditions fell
for the first time since September, while assessments of business conditions
weakened for the second month in a row. Meanwhile, consumers were also less
optimistic about future business conditions and, to a lesser extent, income. The
return of pessimism about future employment prospects seen in December was
confirmed in January.”