The consumer confidence index increased to 133.4 in August from a revised 127.9 last month, The Conference Board reported Tuesday.
The July index was originally reported as 127.4.
Economists polled by IFR Markets predicted a 126.5 reading for the index.
The present situation index rose to 172.2 from a revised 166.1, first reported as 165.9, while the expectations index gained to 107.6 from a revised 102.4, first reported as 101.7.
“Consumer confidence increased to its highest level since October 2000 (Index, 135.8), following a modest improvement in July,” said Lynn Franco, director of economic indicators for The Conference Board. “Consumers’ assessment of current business and labor market conditions improved further. Expectations, which had declined in June and July, bounced back in August and continue to suggest solid economic growth for the remainder of 2018. Overall, these historically high confidence levels should continue to support healthy consumer spending in the near-term.”
Business conditions were called “good” by 40.3% of respondents in August, up from 38.1% of respondents in July. Those saying conditions are “bad” fell to 9.1% from 10.3%.
The percentage of consumers expecting a pickup in business conditions in the next half year gained to 24.3% from 22.9%, while 10.5% said they expect conditions to worsen, up from 10.3% in the prior month.
On the jobs front, those who believe jobs are “plentiful” dipped to 42.7% from 42.8% in last month, while the number saying jobs are “hard to get” fell to 12.7% from 14.8%. The respondents who see fewer jobs becoming available in a half year, slid to 14.1% from 15.2%. Those expecting more jobs to become available declined to 21.7% from 22.6%, The Conference Board reported.
The consumer confidence survey is based on a probability design random sample by the Nielsen Company.
