Consumer sentiment decreases slightly in May after significant April decrease

Utah’s consumer sentiment index fell a statistically insignificant 0.2 percent in May, according to the Zions Bank Consumer Sentiment Survey conducted by the University of Utah’s Kem C. Gardner Policy Institute.

The small decrease follows a sharp 13.5 percent decline in April and is within the survey’s margin of error. 

A similar survey conducted by the University of Michigan reported that sentiment decreased by 10 percent among all Americans in May.

Survey authors said the decreases are likely due to the economic pressures caused by the ongoing conflict in Iran. Since the conflict’s onset in February, United States sentiment has declined by about 21 percent while Utah consumer sentiment has fallen by 11 percent.

“Despite recent decreases, it’s great to see that Utah consumers remain more confident than U.S. consumers. Utah’s fundamental economic strengths — including strong employment and GDP growth — continue to help bolster consumer sentiment,” said Zions Bank Senior Economist Robert Spendlove.   

The Utah consumer confidence survey uses key questions from the University of Michigan’s Survey of Consumers. These questions measure residents’ views of the present economic situation and their expectations for the economy in the future. Data gathered from the key questions are used to create the consumer confidence index for Utah. Demographic questions are included in the questionnaire to allow for additional analysis of the data and to assess the representativeness of the sample.

The full results of the monthly Zions Bank Consumer Sentiment Survey can be accessed at https://gardner.utah.edu/zions-bank-consumer-sentiment-survey/.