The Present Situation Index increased from 133.1 in July to 134.4 in August, while the Expectations Index improved from 81.1 to 82.5. A reading of the Expectations Index below 80 usually signals a recession ahead.
The Conference Board commented: “Consumers continued to express mixed feelings in August. Compared to July, they were more positive about business conditions, both current and future, but also more concerned about the labor market.”
U.S. Dollar Index settled near the 100.75 level as traders reacted to the better-than-expected CB Consumer Confidence report. Treasury yields are moving higher, but this move does not provide support to the American currency.
Gold remains stuck below the key resistance at $2520 – $2530. Rising Treasury yields serve as a bearish catalyst for gold markets.
