US consumer confidence falls in November
US consumer confidence fell in November as views of current and future business and job conditions sagged, the Conference Board reported Tuesday.
The consumer confidence index fell to 88.7 from 94.1 in October, but remained well above the 72.0 level of a year ago.
Assessments by survey respondents of existing business conditions and those in the next six months all eroded.
But the same survey showed consumer plans for spending on major items like cars, houses, appliances and vacations in the next six months were generally higher.
"Consumers were somewhat less positive about current business conditions and the present state of the job market," said Lynn Franco, director of economic indicators at The Conference Board.
"However, income expectations were virtually unchanged and gas (gasoline) prices remain low, which should help boost holiday sales."
Analysts said the downturn in the overall index is likely temporary, and possibly related to October's stock market slump, now well-overcome in November.
"We are inclined to see it as a lagged response to the drop in stock prices in October, which has since more than reversed, while gas prices have fallen further," said Ian Shepherdson at Pantheon Macroeconomics.
"We expect a rebound in December and further gains early next year."
