Consumer Confidence Reaches Post-Pandemic High In July

U.S. consumer confidence remained steady in July, suggesting strong economic growth as consumers indicate a continued desire to spend.

July’s consumer confidence index, which rose to 129.1 from the 128.9 in June, marked the highest level since February 2020, the Conference Board reported on Tuesday.

Lynn Franco, senior director of economic indicators at The Conference Board, said consumers' appraisal of current conditions remains steady, suggesting strong economic growth at the start of the third quarter.

"Consumers' optimism about the short-term outlook didn’t waver, and they continued to expect that business conditions, jobs, and personal financial prospects will improve," Franco said in the report.

Economists were expecting a drop after the index reached a post-pandemic high in June, with rising concern about the delta variant of the coronavirus and the recent spike in inflation, US News reported.

"Spending intentions picked up in July, with a larger percentage of consumers saying they planned to purchase homes, automobiles, and major appliances in the coming months," Franco added.

The report comes at a height of consumer confidence, as consumers enter back to school and holiday shopping seasons that play a crucial role in the nation’s spending.