PULSE POINTS:
❓What Happened: Consumer confidence in the U.S. saw a sharp rebound in May.
👥 Who’s Involved: U.S. consumers; President Donald J. Trump; The Conference Board.
📍 Where & When: United States; May 2025.
💬 Key Quote: “The rebound was already visible before the May 12 US-China trade deal but gained momentum afterwards,” said Conference Board senior economist Stephanie Guichard.
⚠️ Impact: Economic optimism has increased following President Trump’s recent trade deals.
IN FULL:
Consumer confidence in the United States experienced a notable recovery in May 2025, breaking a five-month streak of declining sentiment. The Conference Board reported Tuesday that its consumer confidence index surged by 12.3 points, rising to 98 from April’s 85.7. This marks a significant improvement from the prior month and is well above forecasted expectations of 86.
The improvement in consumer sentiment coincides with recent trade deals and policy adjustments by President Donald J. Trump. A series of tariff pauses and negotiated reductions appear to have alleviated some of the economic uncertainty stirred up by anti-tariff commentators. President Trump has also struck trade deals with Britain and China, and secured investments worth trillions of dollars from Saudi Arabia, Qatar, and the United Arab Emirates (UAE) in recent days.
The rebound in confidence suggests that Americans are beginning to feel more optimistic about the economic outlook. The data reflects a shift in public sentiment as trade tensions ease, and the tariff policy’s goal of reshoring manufacturing to the U.S. begins to bear fruit, with major businesses such as Nvidia announcing major investments in domestic production.
The Conference Board #ConsumerConfidence Index® increased by 12.3 points in May to 98.0 (1985=100), up from 85.7 in April.
The #PresentSituation Index—based on consumers’ assessment of current business and labor market conditions—rose 4.8 points to 135.9. The… pic.twitter.com/b86bVWGkbN
— The Conference Board (@Conferenceboard) May 27, 2025