Washington, United States. US consumer confidence eased in May as concerns about inflation linked to the war with Iran increased, offsetting an improvement in households’ views of the labor market, a survey showed this week.
Survey results
The Conference Board said its consumer confidence index fell 0.7 points to 93.1 this month. April’s reading was revised higher to 93.8 from 92.8. Economists polled by Reuters had expected the index to decline to 92.0.
Inflation concerns
“Consumer confidence edged downward in May as the inflationary impacts of the war in the Middle East intensified,” said Dana Peterson, chief economist at the Conference Board.
She said references to prices and oil and gas increased in frequency for a second consecutive month, while mentions of war, geopolitics and conflict remained elevated, indicating consumers’ concerns about the inflationary effects of the war in the Middle East.