Consumer confidence in the United States saw a sharp rebound in May, following a temporary truce in the ongoing trade dispute between Washington and Beijing. This uptick comes after five consecutive months of declining sentiment.
According to a report by Reuters, the Conference Board’s Consumer Confidence Index rose by 12.3 points to 98.0 in May—surpassing economists’ forecast of 87.0. The report noted that nearly half of the survey data was gathered after May 12, when the White House announced a 90-day agreement to reduce tariffs on Chinese imports from 145% to 30%.
Stephanie Guichard, a senior economist at the Conference Board, said consumer sentiment had already begun recovering before the trade announcement, but the deal added further momentum. Still, she cautioned that tariffs remain a top concern for many U.S. households, as they grapple with price hikes and uncertainty about the long-term economic impact.
While the trade truce offers a brief reprieve and boosts optimism, analysts warn that broader questions about future U.S.–China trade relations remain unresolved.
