US consumer confidence edges up in July

FILE – Customer Dan Inks, right, shops at University Bicycles in Boulder, Colo., on April 30, 2024. On Tuesday, July 30, 2024, the Conference Board reports on U.S. consumer confidence for July. (AP Photo/Thomas Peipert, File)

Washington, United States — US consumer confidence edged higher in July, but only because of a downward revision to the previous month’s data, according to survey figures published Tuesday.

The Conference Board’s consumer confidence index tallied 100.3 in July, up slightly from a figure of 97.8 in June, which was revised down from its initial estimate of 100.4.

The July figure was slightly higher than market expectations, according to Briefing.com.

READ: Consumer confidence in U.S. fell in June

“Confidence increased in July, but not enough to break free of the narrow range that has prevailed over the past two years,” Conference Board chief economist Dana Peterson said in a statement.

“Even though consumers remain relatively positive about the labor market, they still appear to be concerned about elevated prices and interest rates, and uncertainty about the future,” she said, adding that these are “things that may not improve until next year.”

The Conference Board said consumer confidence improved for the under-35s and those people aged 55 and older, with a decline seen among those aged between 35 and 54.

“On a six-month moving average basis, confidence remained the highest among consumers under 35,” it added.

Despite the modest July figures, the slight uptick in consumer inflation will likely be well-received by the US Federal Reserve as it meets this week to consider interest rates.

Analysts and traders widely expect the Fed to hold rates steady, and to signal an openness to moving ahead with its first rate cut in September.

The Conference Board also asked consumers how they feel about the future, and found them to be “somewhat less pessimistic” than in June, Peterson said.

“Expectations for future income improved slightly, but consumers remained generally negative about business and employment conditions ahead,” she added.