US Consumer Confidence Falls to 89.4, a 7-Month Low as Gas Tops $4
Updated
Updated · The Guardian · Aug 25
US Consumer Confidence Falls to 89.4, a 7-Month Low as Gas Tops $4
3 articles · Updated · The Guardian · Aug 25
Summary
The Conference Board’s consumer confidence index slipped to 89.4 in August from 90.2, extending a lukewarm stretch and marking its weakest reading in seven months.
Gasoline above $4 a gallon and persistent inflation drove the drop: survey responses collected Aug. 3-16 showed elevated concern about prices, especially oil and gas, alongside rising mentions of war, food costs, trade and jobs.
Consumers drew a split picture of the economy, with views of current conditions and job availability improving—27% said jobs were plentiful, up from 24.4%—while six-month expectations deteriorated.
That caution follows a weak July labor report: employers cut 23,000 jobs, revisions erased 103,000 more from May and June, and the 4.1% unemployment rate fell partly because workers left the labor force.
Inflation remains a political and policy risk less than 70 days before the midterms, with the Fed’s preferred PCE gauge at 3.7% in June and July data due Wednesday.