Consumer confidence falls in US

Consumer confidence in America has sharply fallen in September following a four-month rise, a research organization reports.

The national Conference Board Consumer Confidence Index fell from 93.4 in August to 86 points in September, Mass Live reported on Tuesday.

Also, the Conference Board’s Present Situation Index fell to 89.4 points from 93.9. The Expectations Index dropped to 83.7 points from 93.1 in August. The national index is measured on a100-points scale.

The Conference Board has blamed the slide on the negative assessment of the job market.

“A less positive assessment of the current job market, most likely due to the recent softening in growth, was the sole reason for the decline in consumers’ assessment of present-day conditions,” said Lynn Franco, Director of Economic Indicators at The Conference Board. “Looking ahead, consumers were less confident about the short-term outlook for the economy and labor market, and somewhat mixed regarding their future earnings potential.”

The report shows nation’s view of job availability has declined sharply, making consumers less confident about the short-term outlook and the economy.

Less people expect business conditions to improve over the next six months and more people anticipate a fall in the number of jobs in the months ahead. 

The September drop is the biggest monthly drop since October 2013 when consumers lost confidence in the labor market over a partial government shutdown.

AN/GJH