What's going on with consumer confidence?

A key measure of consumer confidence shot up to its highest level in two years. The Conference Board’s Consumer Confidence Index hit 117 for the month, jumping up from a revised 110.1 in June, according to a report released Tuesday. Economists were expecting the index to climb to 111.8, according to consensus estimates on Refinitiv.

How is the Consumer Confidence Index calculated?

The Consumer Confidence Index is calculated by surveying a sample of U.S. households about their feelings about business and employment situations and comparing their answers to 1985, which is used as the baseline. 1 In December, the Consumer Confidence Index took a positive turn after two months of declines.

Why did consumer confidence fall in June?

WASHINGTON, June 28 (Reuters) - U.S. consumer confidence fell sharply in June as worries about high inflation left consumers anticipating economic growth would weaken significantly in the second half of the year. The Conference Board said on Tuesday its consumer confidence index dropped 4.5 points to a reading of 98.7 this month.

Is consumer confidence an irrelevant measure in today's World?

Writing for the World Economic Forum’s Agenda, two members of the Forum’s Young Global Leaders argued consumer confidence was an irrelevant measure in today's world. They said that, in a world threatened by climate change and riven by inequality, an index that measured people’s hopes of consuming ever more things was inappropriate.