U.S. consumer confidence declines in April

Consumer confidence declined in April as consumers' assessment of current business conditions and optimism about short-term outlook and the labor market waned, according to The Conference Board.

The Conference Board's Consumer Confidence Index® decreased to 120.3, down from 124.9 in March. A reading of 90 or higher indicates a healthy economy.

The index measures how shoppers feel about business conditions, the job market and the next six months. Economists watch the index closely because consumer spending accounts for about 70 percent of economic activity and is a crucial part of a strong rebound.

The percentage of consumers expecting business conditions to improve during the next six months decreased from 26.9 percent to 24.8 percent, and those expecting business conditions to worsen rose from 8.5 percent to 10.9 percent.

Additionally, those expecting more jobs in the coming months decreased from 23.8 percent to 23.0 percent, and those anticipating fewer jobs increased from 12.7 percent to 13.1 percent.

"Consumer confidence declined in April after increasing sharply over the past two months but still remains at strong levels," says Lynn Franco, The Conference Board's director of economic indicators. "Consumers assessed current business conditions and, to a lesser extent, the labor market less favorably than in March. Looking ahead, consumers were somewhat less optimistic about the short-term outlook for business conditions, employment and income prospects. Despite April's decline, consumers remain confident that the economy will continue to expand in the months ahead."

Date : 4/26/2017