Posted 7/27/2010 - 10:40:25 AM

| | | | | | | | | |

What are these?

The Conference Board Consumer Confidence Index, which had declined sharply in June, retreated further in July. The Index now stands at 50.4, down from 54.3 in June. The Present Situation Index decreased to 26.1 from 26.8. The Expectations Index declined to 66.6 from 72.7 last month.

Consumer confidence faded further in July as consumers continue to grow increasingly more pessimistic about the short-term outlook,” said Lynn Franco, director of The Conference Board Consumer Research Center. “Concerns about business conditions and the labor market are casting a dark cloud over consumers that is not likely to lift until the job market improves. Given consumers’ heightened level of anxiety, along with their pessimistic income outlook and lackluster job growth, retailers are very likely to face a challenging back-to-school season.”

Consumer assessment of current conditions was more downbeat in July. Those saying conditions are “bad” increased to 43.6% from 41%; however, those saying business conditions are “good” increased to 9% from 8.4%. Consumer appraisal of the job market was also more negative. Those claiming jobs are “hard to get” increased to 45.8% from 43.5%, while those saying jobs are “plentiful” remained unchanged at 4.3%. Consumer short-term outlook also deteriorated further in July. The percentage of consumers expecting an improvement in business conditions over the next six months decreased to 15.9% from 17.1%, while those anticipating conditions will worsen rose to 15.7% from 13.9%.