The "Consumer Confidence Index" reached a three-year high in June as second quarter U.S. payment card gross dollar volume is expected to top $650 billion for the highest year-over-year growth rate since the third quarter of 2002. Credit and debit card GDV is expected to rise 13.5% in Q2, compared to 11.5% in the first quarter and 11.8% one-year ago. The Conference Board, which produces the "Consumer Confidence Index," says that consumers are in better spirits and job concerns appear to remain relatively steady. Therefore, there is little reason to expect a dramatic shift in consumer spending. Despite the rebound in payment card volume, CardData expects growth in revolving credit card balances to remain sluggish for the near term.
| CONSUMER CONFIDENCE INDEX |
| Jun 01: | 118.9 |
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| Jun 02: | 106.4 |
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| Jun 03: | 83.5 |
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| Jun 04: | 102.8 |
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| Jun 05: | 105.8 |
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| INDEX=100 in 1985 |
| Source: The Conference Board |
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| DEBIT+CREDIT GDV GROWTH |
| 2Q/01: | $430b | +18% |
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| 2Q/02: | $481b | +13% |
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| 2Q/03: | $516b | + 7% |
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| 2Q/04: | $584b | +13% |
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| 2Q/05: | $651b | +13.5% |
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| GDV=gross dollar volume |
| Source: CardData |
