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- U.S. consumer confidence unexpectedly worsens in August
U.S. consumer confidence unexpectedly worsens in August
The Conference
Board announced on Tuesday its U.S. consumer confidence fell 6.9 points to 84.8
in August from 91.7 in July.
Economists had
expected consumer confidence to come in at 93.0.
July’s consumer
confidence reading was revised up from originally estimated 92.6.
The survey
showed that the expectations index dropped from 88.9 last month to 85.2 this
month. Meanwhile, the present situation index plunged from 95.9 in July to 84.2.
“Consumer Confidence declined in August for the second consecutive month,” noted Lynn Franco, Senior Director of Economic Indicators at The Conference Board. “The Present Situation Index decreased sharply, with consumers stating that both business and employment conditions had deteriorated over the past month. Consumers’ optimism about the short-term outlook, and their financial prospects, also declined and continues on a downward path. Consumer spending has rebounded in recent months but increasing concerns amongst consumers about the economic outlook and their financial well-being will likely cause spending to cool in the months ahead.”
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