Source: University of Michigan
Consumer confidence fell to a nine-year low in August, as sentiment was dampened by the resurgence of the COVID-19 pandemic due to the spread of the delta variant.
- The Index of Consumer Sentiment fell to 70.2 in August. This is the lowest since December 2011’s 69.9.
- The latest reading compares with July’s 81.2 and 74.1 in August 2020.
- Current Economic Conditions slipped to 77.9. This compares with July’s 84.5 and August 2020s 82.9.
- The Index of Consumer Expectations fell to 65.2 from July’s 79.0 and 68.5 in the same month last year.
- Chief Economist Richard Curtin said losses were widespread across income, age, education subgroups, and all regions.
- Consumers expect the economic growth to slow in the next several months.
- Negative economic assessments also surged, reflecting an emotional response as hopes for the pandemic to end soon dimmed.