US consumer confidence improves in August - Conference Board

The Conference Board's consumer confidence index rose to 103.2 from 95.3 in July, coming in ahead of expectations for a reading of 98.00.

The present situation index - based on consumers’ assessment of current business and labour market conditions - improved to 145.4 from 139.7 last month. Meanwhile, the expectations index - based on the short-term outlook for income, business, and labour market conditions - rose to 75.1 in August from 65.6 a month earlier.

Lynn Franco, senior director of Economic Indicators at the Conference Board, said: "Consumer confidence increased in August after falling for three straight months. The present situation Index recorded a gain for the first time since March. The expectations index likewise improved from July’s nine-year low, but remains below a reading of 80, suggesting recession risks continue. Concerns about inflation continued their retreat but remained elevated.

"Meanwhile, purchasing intentions increased after a July pullback, and vacation intentions reached an eight-month high. Looking ahead, August’s improvement in confidence may help support spending, but inflation and additional rate hikes still pose risks to economic growth in the short term."