The Conference Board reported that U.S. consumer confidence fell to 89.4 in August from 90.2 in July, marking the lowest reading in seven months. Americans’ assessment of their present situation improved, but their short-term expectations weakened, providing a fresh measure of household sentiment for businesses monitoring consumer demand.
Key Takeaways
- The Conference Board’s consumer confidence index declined to 89.4 in August from 90.2 in July.
- August’s reading was the lowest consumer confidence level in seven months.
- Consumers reported better assessments of their present situation during the month.
- Short-term expectations for the economy weakened in August.
- Confidence remained below the 100 level recorded consistently in late 2024 and early 2025.
Conference Board Reports August Confidence Reading
The Conference Board’s August Consumer Confidence Index declined to 89.4, down from a revised 90.2 in July. The reading marked the lowest level recorded by the index in seven months.
The August result remained within the relatively narrow range recorded since the beginning of the year. The index had been consistently above 100 in late 2024 and early 2025.
The latest reading contains two different measures of consumer sentiment. Respondents reported an improvement in their assessment of their present situation, while their expectations for the short-term economic outlook became less favorable.
The Conference Board Consumer Confidence Index is designed to measure consumers’ assessments of current economic conditions and their expectations for the months ahead. The August figures therefore provide separate readings on how Americans viewed conditions at the time of the survey and how they viewed the near-term outlook.
For businesses, the distinction between those measures provides separate information about current household sentiment and expectations. The August results show that the deterioration in the overall index was associated with weaker short-term expectations even as assessments of present conditions improved.
Recent retail data also showed a mixed picture for household purchases, with July retail sales declining 0.6% from June while remaining higher than a year earlier.
U.S. Consumer Confidence Falls to 89.4
The August index declined by 0.8 points from July’s 90.2 reading. The move placed the measure at its lowest level in seven months.
The decline did not represent a sharp departure from the range in which consumer confidence had remained since the start of 2026. The August reading was described as remaining within that lukewarm range.
The comparison with late 2024 and early 2025 provides additional context for the current level. During those earlier periods, consumer confidence readings were consistently above 100. The August 2026 reading of 89.4 was below that level.
The index therefore records a different level of consumer sentiment from the one reported during late 2024 and early 2025. The August result also shows that the overall measure can decline even when consumers’ views of their present situation improve.
The separate components of the index are relevant to understanding the August change. The present-situation measure captures respondents’ assessment of conditions at the time of the survey, while the expectations measure captures their view of the short term.
The August data showed those measures moving in opposite directions. Consumers became more positive about their present situation but less positive about the short-term outlook.
Businesses have also been tracking changes in household purchasing behavior, including greater attention to prices and promotions in retail.
Consumer Views of Present Conditions Improve
Consumers’ assessment of their present situation improved in August, according to the Conference Board. The improvement occurred alongside the decline in the overall confidence index.
The present-situation assessment is one of the two principal components used in the consumer confidence reading. It provides an indication of how respondents viewed current economic conditions when the survey was conducted.
The August improvement means the decline in the overall index was not driven by a deterioration across both components. Instead, the weaker overall reading occurred as consumers expressed less confidence about the short-term outlook.
The distinction is important when reading the monthly data because the overall index combines assessments of current conditions with expectations for the future. A change in one component can therefore produce a different overall reading even when the other component moves in the opposite direction.
In August, consumers’ current assessment improved while their expectations weakened. The Conference Board’s data consequently provides a more detailed picture than the headline index alone.
For businesses monitoring consumer demand, the two measures provide separate indicators of household sentiment. The present-situation reading describes consumers’ assessment of conditions they were experiencing, while the expectations measure captures their view of the near-term outlook.
The August results place those two assessments on different trajectories. Current conditions received a better assessment, while the short-term outlook received a weaker one.
A previous U.S. consumer sentiment report also examined household spending expectations and the effect of elevated costs on purchasing decisions.
Short-Term Economic Expectations Weaken
The Conference Board reported that consumers’ short-term outlook worsened in August. The weaker expectations contributed to the decline in the overall confidence index.
The expectations component is intended to capture consumers’ views of economic conditions in the short term. Its decline indicates that respondents became less positive about the near-term outlook during August.
That change occurred despite the improvement in the present-situation assessment. The combination produced the August decline from 90.2 in July to 89.4.
The figures also establish a clear difference between consumers’ views of current conditions and their expectations. The August survey did not show a uniform deterioration in both measures. Instead, current assessments improved while short-term expectations weakened.
The movement in expectations is therefore a central part of the August consumer confidence report. It explains why the overall index reached its lowest level in seven months despite the better assessment of present conditions.
The result also keeps the index below the 100 level that had characterized readings consistently in late 2024 and early 2025. The August figure of 89.4 remains below that earlier level.
For companies monitoring household sentiment, the expectations measure provides information separate from current assessments. The August reading indicates that consumers’ near-term economic outlook became less favorable during the month.
Confidence Remains Below Earlier 100-Level Readings
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The August Consumer Confidence Index remained below the 100 level recorded consistently in late 2024 and early 2025. At 89.4, the latest reading was also the lowest in seven months.
The comparison with earlier readings shows that the level of consumer confidence has changed from the levels recorded during those earlier periods. The Conference Board’s index had consistently exceeded 100 in late 2024 and early 2025.
The August result was not described as a sharp break from the range seen since the beginning of 2026. Instead, the index remained within the same relatively lukewarm range while reaching its lowest point in seven months.
The composition of the August reading provides additional detail. Consumers’ views of their present situation improved, but their short-term expectations deteriorated.
Those movements help distinguish the current assessment of economic conditions from expectations about the near-term outlook. The overall confidence index reflects both measures rather than relying on either assessment alone.
The August data therefore gives businesses a current measure of household sentiment while showing that consumers’ assessments of present conditions and their expectations did not move in the same direction. The 89.4 reading records the combined result of those two measures.
Frequently Asked Questions
What is the U.S. consumer confidence index for August 2026?
The Conference Board’s Consumer Confidence Index stood at 89.4 in August 2026. That was down from 90.2 in July and represented the lowest reading in seven months.
Why did U.S. consumer confidence fall in August 2026?
The overall index declined because consumers’ short-term expectations weakened. Their assessment of their present situation improved during the same month.
What does the Conference Board Consumer Confidence Index measure?
The index measures consumers’ assessments of their present economic situation and their short-term expectations. The two measures provide separate information about current conditions and the near-term outlook.
How did consumers assess their present situation in August 2026?
Consumers’ views of their present situation improved in August. That improvement occurred even as the overall confidence index declined.
How did short-term consumer expectations change in August 2026?
Consumers became less positive about the short-term economic outlook in August. The weaker expectations contributed to the decline in the overall confidence reading.
