Limited Decline in US Consumer Confidence: October 2023 Report

Consumer Confidence Index Data from the University of Michigan

The University of Michigan has shared preliminary data regarding the Consumer Confidence Index, which reflects the tendencies of American consumers, for October. According to these figures, the consumer confidence index dropped by 0.1 points in October, falling to a value of 55.

Results Above Market Expectations

Analysts anticipated that the consumer confidence index would reach a value of 54.1. However, the announced value of 55 points exceeded market expectations. In the previous September, the index was at 55.1.

Current Economic Conditions and Consumer Expectations

The current economic conditions index, which assesses consumers' present financial situation, reached a value of 61 with a 0.6-point increase in October. However, the consumer expectations index, which indicates consumers' future expectations, fell by 0.5 points to 51.2 during the same period.

Inflation Expectations

Although consumers' short-term inflation expectation decreased to 4.6% in October, this rate still remained elevated. The long-term inflation expectation remained stable at 3.7%.

Comments on Consumer Confidence

The Director of Consumer Surveys, Joanne Hsu, stated that consumer confidence remained virtually unchanged this month and showed a sideways trend. Hsu noted that high prices and weakening expectations in the labor market remained prominent in consumers' minds.