U.S. consumer confidence staged a significant comeback in May, interrupting a five-month streak of declines, The Conference Board reported Tuesday. The Consumer Confidence Index® leaped by 12.3 points to 98.0, up from a revised 85.7 in April.
The rebound was largely fueled by a more optimistic outlook for the future. The Expectations Index—reflecting consumers’ short-term views on income, business, and labor market conditions—surged an impressive 17.4 points to 72.8. Despite this sharp increase, the index remains below the 80-point threshold, which historically can signal a potential recession ahead.
The Present Situation Index, which gauges consumers’ assessment of current business and labor market conditions, also rose by 4.8 points to 135.9.
Stephanie Guichard, Senior Economist, Gl