After surging in May, Americans’ economic confidence receded in early June and remains near its 2011 low, averaging -33 in the week ending June 26. This is down seven percentage points from the week ending May 29 and down a similar amount compared with the same week a year ago.
U.S. economic confidence peaked this year at -18 in February and then generally declined, reaching -39 during week ending April 24, as gas prices surged and economic activity slowed. Confidence increased in May, averaging -26, likely in response to the news of Osama bin Laden’s death in a U.S. military raid.
Gallup’s Economic Confidence Index combines two measures: one assessing Americans’ views about whether the U.S. economy is “getting better” or “getting worse,” and the second involving Americans’ ratings of current economic conditions as “excellent,” “good,” “only fair,” or “poor.” Both ratings have deteriorated thus far in June.
In the most recent week, 31% of Americans said the U.S. economy is getting better — on par with what Gallup has measured throughout June, but down from 37% weekly readings during most of May. The latest reading is also down from 36% during the same week in 2010.
Forty-five percent of Americans rated current economic conditions “poor” in the week ending June 26 — three points worse than the 42% readings during the week ending May 29 and a year ago. June’s “poor” ratings are at or near their highest levels of 2011.
