US consumer confidence has weakened in June, dropping 5.4 points to 93.0, as households increasingly worry about job availability and rising economic uncertainty. The decline is across all age cohorts and income groups, with the largest drop among Republicans.
The Conference Board’s survey found that consumers remain pre-occupied with import duties and are mostly undecided on big-ticket purchases. There was a decline in the share expecting their incomes to increase over the next six months, but perceptions of the current financial situation remained solid.
The labor market differential, which correlates to the unemployment rate, narrowed to a four-year low of 11.1, indicating softening labor market conditions. Economists say this, combined with high numbers on unemployment benefits, raises the risk that the jobless rate could rise to 4.3% in June.
Inflation expectations decreased slightly to 6.0%, but the share expecting interest rates to rise is the highest since October 2023. Meanwhile, stocks traded higher, and the dollar fell against a basket of currencies.
The annual house price growth slowed in April as supply rises, with single-family house prices falling 0.4% after being unchanged in March. While economists do not expect an outright decline in national house prices, some individual markets could see sharp decreases.
Source: https://www.reuters.com/business/us-consumer-confidence-deteriorates-june-2025-06-24