The consumer confidence index climbed to 50.2 in October from an upwardly revised 48.6 last month, the Conference Board reported Tuesday.
Steven Wood, chief economist at Insight Economics, said consumer confidence remains deeply mired in a range traditionally associated with recessions, like the one that officially ended in June 2009 after 18 months.
Economists predicted the index would be 49.0.
The September index was originally reported as 48.5.
“Much of the weakness is due to high unemployment, soft housing prices, lofty foreclosures, and tight credit standards,” Wood said.
The present situation index rose to 23.9 in October from an upwardly revised 23.3, which was originally reported at 23.1. The expectations index increased to 67.8 from an upwardly revised 65.5 last month, which was originally reported as 65.4.
“Consumer confidence, while slightly improved from September levels, is still hovering at historically low levels,” said Lynn Franco, director of the board’s Consumer Research Center. “Consumers’ assessment of the current state of the economy is relatively unchanged, primarily because labor market conditions have yet to significantly improve.”
