NEW YORK - The consumer confidence index inched up to 45.4 in September from an upwardly revised 45.2 last month, The Conference Board reported Tuesday.
Economists polled by Thomson Reuters predicted the index would be 46.0.
The August index was originally reported as 44.5.
The present situation index dipped to 32.5 from an upwardly revised 34.3, originally reported as 33.3, while the expectations index gained to 54.0 from an upwardly revised 52.4, originally reported as 51.9.
“The pessimism that shrouded consumers last month has spilled over into September,” said Lynn Franco, director of The Conference Board's Consumer Research Center. “Consumer expectations, which had plummeted in August, posted a marginal gain. However, consumers expressed greater concern about their expected earnings, a sign that does not bode well for spending. In addition, consumers’ assessment of current conditions declined for the fifth consecutive month, a sign that the economic environment remains weak.”
Business conditions were called “good” by 11.7% of respondents in September, down from 14.1% in August. Those saying conditions are “bad” climbed to 40.4% from 40.3%.
The percentage of consumers expecting a pickup in business conditions in the next half year fell to 1138% from 11.8%, while 22.6% said they expect conditions to worsen, down from 24.6% the prior month.
On the jobs front, those who believe jobs are “plentiful” rose to 5.5% in September from 4.8% in August, while the number saying jobs are “hard to get” increased to 50.0% this survey from 48.5%. The respondents who see fewer jobs becoming available in a half year, slid to 28.6% from 31.2%. Those expecting more jobs to become available climbed to 12.0% from 11.8%, The Conference Board reported.
Income expectations were mixed, with 13.3% of consumers anticipating an increase in their income in the next six months, down from the prior month's 14.3%, while 18.0% expect their income to decrease, down from 18.8% in the prior month’s survey.
The number of consumers who expected to buy a home in the next six months jumped to 4.9% from 4.0%, while the number of respondents planning to buy a car fell to 11.4% from 13.0%. Fewer consumers than last month said they plan to buy a major appliance in the next six months (39.2% vs. 49.4%).
More respondents than last month (46.9% vs. 42.0%) expect to take a vacation in the next six months, but more said they would stay in the U.S. rather than leave the country. Cars rather than airplanes were the preferred mode of travel, by a 23.6%-23.2% margin.
The consumer confidence survey is based on a probability design random sample by the Nielsen Company.
