Wednesday, November 28, 2007

November Consumer Confidence Dips 17%

The Conference Board's Consumer Confidence Index was just 87.3 (1985=100) in November, down 17.1% from the same month in 2006. The month’s mark was 8.3% below October’s revised Index.
Said Lynn Franco, Director of The Conference Board Consumer Research Center: "This month's deterioration in confidence was due primarily to the sharp decline in the Expectations Index. Consumers' apprehension about the short-term outlook is being fueled by volatility in financial markets, rising prices at the pump and the likelihood of larger home heating bills this winter. In fact, consumers' inflation expectations have surpassed the spike experienced this spring and a larger percentage than last month expect stock prices to decline.” Just 10.8% of consumers expect more jobs in the months ahead, while 23.1% expect the number of jobs to decrease. And 11% of consumers expect their incomes to drop over the next six months.

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