The Conference Board Consumer Confidence Index rose to levels on par with 18-year highs in May, increasing from 129.2 in April to 134.1.

Closely watched by economists and other analysts, the index’s strong showing is potentially a good sign for the promotional products industry, as it indicates Americans aren’t yet feeling economic strain from the ongoing trade war with China (Read how the dispute is impacting promo). A generally strong economy is good for the promo business, which tends to trend in the direction of GDP.

US consumer confidence rises again in May pic.twitter.com/6GgQ9q2Duh

— Daniel Lacalle (@dlacalle_IA) May 28, 2019

Still, some of the good news was tempered by certain analysts who noted the index’s consumer surveying concluded on May 16, only six days after President Donald Trump ramped up tariffs on $200 billion worth of Chinese imports. That means the full impact of the escalated trade tensions on consumers might not be reflected in the index’s results, some economists said.

Even with the caveat, the data from the Conference Board could prove encouraging for those keen for signs of American economic strength. The Conference Board’s Present Situation Index, which is based on consumers’ assessment of current business and labor market conditions, increased from 169 in April to 175.2 in May. Meanwhile, the Expectations Index, which reflects consumers’ short-term outlook for income, business and labor market conditions, jumped from 102.7 last month to 106.6 this month. Despite some mixed views on income prospects, employment gains helped drive the positive outlook, the Conference Board said.

“Consumers expect the economy to continue growing at a solid pace in the short-term, and despite weak retail sales in April, these high levels of confidence suggest no significant pullback in consumer spending in the months ahead,” said Lynn Franco, senior director of economic indicators at The Conference Board.