Consumer confidence stays steady in March

An index of consumer sentiment based on 5,000 households remained relatively flat this month, according to a report released today by The Conference Board, a business research firm. The Conference Board Consumer Confidence Index was 26, up from 25.3 last month, when it reached an all-time low. The Present Situation Index declined to 21.5 this month, from 22.3 in February. The Expectations Index increased to 28.9, from 27.3. “The Present Situation Index suggests that the overall state of the economy remains weak and that more job losses are on the horizon,” Lynn Franco, director of The Conference Board Consumer Research Center, said in a statement. “Apprehension about the outlook for the economy, the labor market and earnings continues to weigh heavily on consumers’ attitudes,” she said. “Looking ahead, consumers remain extremely pessimistic about the short-term future and do not foresee a turnaround in economic conditions over the coming six months.” Consumers’ assessment of conditions worsened last month. Those surveyed who said business conditions are “bad” rose to 51.1%, from 50.5% last month. Those who said that conditions are “good” declined, to 6.8% from 7% last month. Those surveyed were also pessimistic about labor conditions. The percentage of consumers who said that jobs are “hard to get” increased to 48.7%, from 46.9% the last month. Those who said that jobs are “plentiful” remained unchanged at 4.6%. The short-term outlook was slightly less negative this month. Consumers expecting business conditions to worsen over the next six months declined to 39.1%, from 40.7% last month. Those who expected improvement increased to 9.1%, from 8.5% last month. The employment outlook was also slightly less pessimistic. A full 42.6% said that they expect fewer jobs in the months ahead, reflecting a decline from 47% this month. And those expecting more jobs rose to 7.1%, from 6.8% this month. But the number of consumers expecting an increase in income fell to 7.5%, from 7.9%. The monthly survey is conducted on behalf of New York-based The Conference Board by TNS, a Reston, Va.-based global market research firm.