The latest economic data has shown that U.S. consumer confidence edged lower in May as Americans’ view of their present and future prospects dimmed in the midst of persistent inflation.
On Tuesday, the Conference Board revealed that its consumer confidence index dipped to 106.4 in May — still a strong reading — from 108.6 in April.
Sources said the business research group’s present situation index, which measures consumers’ assessment of current business and labor conditions, also fell in May to 149.6 from 152.9 in April.
Moreover, based on consumers’ six-month outlook for income, business, and labor market conditions, the expectations index also declined in May to 77.5 from 79 in April.
According to reports, the expectation index was above 80 in February and remained a weak spot in the survey.
The latest data also shows that U.S. producer prices soared 11% in April from a year earlier, a hefty gain that indicates high inflation will remain a burden for consumers and businesses in the months ahead.