The Conference Board's index of consumer confidence rose again this month, bringing this important measure of economic sentiment to its highest level in three years.
The index now stands at 105.8 (1985=100), up from an upwardly revised 103.1 in May, the New York-based business research group reported on June 28.
"The improvement in consumers' mood suggests that business activity and labor market activity will continue to pick up over the next several months," says Lynn Franco, director of the Conference Board's Consumer Research Center. "And, with consumers in better spirits, and job concerns remaining relatively steady, there is little reason to expect a dramatic shift in consumers' spending."
Significantly for close watchers of the U.S. labor market, for the first time in nearly three year's the percentage of consumers this month saying jobs were "hard to get" did not exceed the percentage saying jobs were "plentiful."
However, Conference Board data also show the percentage of consumers expecting more jobs to become available in the months ahead remained at 15.2% in June, while those anticipating fewer jobs edged up to 16.5%.
The Conference Board's Consumer Confidence Index is based on a representative sample of 5,000 U.S. households, with the monthly survey conducted by TNS NFO.