United States: Consumer confidence falls to lowest point in seven months in November
November 26, 2013
In November, the Conference Board consumer confidence index recorded a moderate decrease from October's revised 72.4 points to 70.4 points, marking the lowest result in seven months. The reading contrasted market expectations of an increase to 72.9 points.
November's decrease in confidence was mainly driven by a sharp decline in consumers' expectations regarding their personal finances over the next six months. Households surveyed expressed only a slightly more negative outlook with respect to their current financial situations. Respondents' assessment of the future job market was also more pessimistic; fewer people anticipated more jobs in the coming months.
The Conference Board suggested that consumers' confidence was dragged down by concerns regarding hiring and the economy over the next six months. The director of the Board explained that, "when looking ahead, consumers expressed greater concern about future job and earning prospects."
Author: Carl Kelly, Economist