New York — Consumers’ appraisal of the current job market and worries over their income still have them feeling pessimistic, according to a new report, which shows consumer opinion has changed very little since last month. “Consumer confidence dipped slightly in August but remained at a level similar to those of the past three months,” said Stephanie Guichard, senior economist, global indicators at The Conference Board. The Conference Board Consumer Confidence Index fell by 1.3 points in August to 97.4, down from 98.7 in July. The Present Situation Index — based on consumers’ assessment of current business and labor market conditions — fell by 1.6 points to 131.2. The Expectations Index — based on consumers’ short-term outlook for income, business and labor market conditions — decreased by 1.2 points to 74.8. Expectations remained below the threshold of 80, which typically signals a recession ahead.

Specific to different demographic groups, confidence fell for consumers under 35 years old, was stable for consumers aged 35 to 55, and rose for consumers over 55. The evolution of confidence by income groups was mixed, with no clear pattern emerging. By partisan affiliation, confidence weakened in August among both Republicans and Democrats but was little changed for Independents. “Consumers’ write-in responses showed that references to tariffs increased somewhat and continued to be associated with concerns about higher prices,” Guichard added. “Meanwhile, references to high prices and inflation, including food and groceries, rose again in August. Consumers’ average 12-month inflation expectations picked up after three consecutive months of easing and reached 6.2% in August—up from 5.7% in July but still below the April peak of 7.0%.” Among the write-in responses, there was also a rise in mentions of jobs and employment, even though these remained relatively low on the list of themes consumers are focused on. Most negative comments on the labor market referred to the current situation while positive comments conveyed hopes that things would get better. In August, consumers’ outlook on stock prices deteriorated slightly, with 47.4% of consumers expecting stock prices to increase over the next 12 months, down from 48.9% in July. Conversely, 30.3% of consumers expected stock prices to decrease over the next 12 months, up from 28.1% in July. The share of consumers expecting interest rates to rise increased to 54.0% from 53.1% in July and fewer consumers expected interest rates to fall (20.9% vs 21.4% in July). According to the report, the share of consumers expecting a recession over the next 12 months rose in August to the highest level since the April peak. Other data points mentioned in the report include:

• 29.7% of consumers said jobs were “plentiful,” down slightly from 29.9% in July.
• 20.0% of consumers said jobs were “hard to get,” up from 18.9%.
• Consumers were a bit more worried about the labor market outlook in August, with 17.9% of consumers expecting more jobs to be available, down from 18.0% in July.
• 26.8% anticipated fewer jobs, up from 25.1%.
• 18.3% of consumers expected their incomes to increase, down from 18.7% in July.
• 12.6% expected their income to decrease, up from 11.8%. The index report’s cutoff date for preliminary results was August 20, 2025.