The White House has again delayed imposing new China tariffs, yet despite ongoing macroeconomic and political uncertainty, consumer confidence has been holding steady, according to market researcher Numerator.
In the Numerator Consumer Sentiment Tracker study, confidence in July remained relatively in line with June. Numerator’s July Consumer Confidence Score was 55.7, up 0.1 points from June. The confidence reading covers how consumers feel about the job market, their household finances, and their spending comfort levels.
Although the confidence score remains above the 50-point line between positive and negative sentiment, many consumers remain wary of economic conditions. So, to save money, 40% are shopping for items on sale, 38% are cooking at home, and 38% are using coupons/ discount codes. Consumers with spare cash told Numerator they’re putting it in savings, the choice for 35%, and paying down debt, the choice for 33%, even as 13% of consumers said they do not have any spare cash.
Among other the Numerator findings:
- 33% of consumers said they are spending less overall.
- 32% of consumers think it’s very or somewhat difficult to find employment in the current job market.
- 48% of consumers said their household’s financial situation is currently good or very good.
- 41% of consumers indicated that they were very or somewhat comfortable spending money on discretionary purchases.
- 27% of consumers said they will use spare cash to vacation or travel.
The 27% response on vacation/travel spending was down the points from the month last year, Numerator noted.
The July Financial Outlook Score was 51.9, flat from June, as consumers expressed mixed feelings about their future finances. In thinking about one year from now, 26% of consumers said they concluded that their finances would be better than they are now, while 52% said they’ll probably be the same, and 22% believed they’ll be worse.
The decision by the Trump administration to suspend heightened tariffs on China prolongs a period when consumers and businesses have coped with duty changes and, in many cases, unpredictability. The White House stated that the latest action on China tariffs is necessary to facilitate ongoing discussion with the country about remedying trade imbalances, unfair trade practices, expanding market access for American exports and aligning with the United States on national security and economic matters. The U.S. and China have engaged in multiple rounds of productive negotiations to address trade reciprocity and national security concerns, the White House asserted, so it will maintain its suspension of heightened tariffs on Chinese imports until November 10.
