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CTA: Consumer Tech Spending Confidence Rebounds

Consumer confidence in technology spending rose 10 points in June, according to the Index of Consumer Technology Expectations (ICTE) from the Consumer Technology Association (CTA), a number in line with historical trends.

The June consumer confidence index number of 87.5 was down 0.3 points from June 2015, and 3.7 points from June of 2014.

“Tech spending confidence improved significantly in June and returned to seasonal levels after last month’s deviation,” said Shawn DuBravac, CTA’s chief economist, in a statement. “If tech sentiment is maintained, this month’s rebound bodes well and suggests strength for the second half of the year.

“Additionally, as a share of total consumer spending, tech has been inching higher over the last 6 months, a sign that consumers are allocating an increasing share of dollars towards tech.”

However, the same report saw consumer sentiment about the U.S. economy overall drop nine points month to month to 171.3. May’s overall economy index number of 180.3 was the highest in CTA’s monthly reports since February 2015.

“The drop in sentiment toward the overall economy is likely due to higher gas prices over the last month and increased global uncertainty amidst the Brexit vote in the United Kingdom last week,” DuBravac said. “Equity markets slid and uncertainty rose, putting downward pressure on sentiment.”

The CTA indexes are based on consumer surveys.