After three consecutive months of falling confidence, Florida consumers showed renewed optimism in May, according to a new report from the University of Florida. The statewide consumer sentiment index rose 3.7 points to 81, up from a revised 77.3 in April. National sentiment, by comparison, remained unchanged.
“Consumer confidence had declined sharply in recent months, largely driven by falling spending intentions and growing pessimism about the national economy,” said Hector Sandoval, director of the Economic Analysis Program at UF’s Bureau of Economic and Business Research. “In May, however, the rebound in sentiment was supported by a marked improvement in both Floridians’ willingness to make big-ticket purchases and their long-term outlook on the U.S. economy.”
Sandoval cited easing trade tensions between the United States and China — including a reduction in tariffs — as a likely factor contributing to the improved outlook.
All five components of UF’s index showed improvement in May:
- Personal financial situation now vs. a year ago rose from 68.5 to 72.
- Perceptions of whether now is a good time to buy major items jumped from 68.5 to 73.9, the largest monthly gain among the five metrics.
- Expectations for personal finances one year from now increased modestly, from 89.1 to 90.6.
- Short-term expectations for the U.S. economy climbed from 78.4 to 80.8.
- Long-term expectations for the national economy saw the biggest increase in future outlooks, rising from 82.2 to 87.5.
The gains were largely consistent across age, income, and gender groups, though older residents — those 60 and above — expressed more negative views about their current financial situations. Similarly, more pessimism about future finances was reported among women and people earning less than $50,000 annually.
Despite the improvement in sentiment, Sandoval noted that economic uncertainty remains a concern, particularly regarding international trade. “While there has been some easing, the outlook remains unclear,” he said. “The possibility of new tariff hikes still looms, and recent legal disputes have added further uncertainty. This continued uncertainty is likely to weigh on consumer confidence in the months to come.”
Florida’s overall economic indicators remain strong. The labor market continues to grow both nationally and statewide, with steady job creation. Inflation has also shown signs of improvement, moving closer to the Federal Reserve’s target of 2% annually.
The UF survey was conducted between April 1 and May 29 and included responses from 600 adults across the state — 304 reached by cellphone and 296 via an online panel. The responses were weighted to reflect the state’s population distribution by county, age, and gender. UF uses a consumer sentiment index benchmarked to 1966, with a score of 100 representing confidence equal to that year’s baseline.
Additional survey details are available at www.bebr.ufl.edu/florida-consumer-sentiment.
