June Consumer Confidence Takes a Dive

June 28, 2010  by in UnCategorized   

By Home Furnishings Business in economic news on June 29, 2010

Consumer confidence fell sharply in June after rising for three straight months, The Conference Board announced Tuesday.

The Index now stands at 52.9 (1985=100), down from 62.7 in May. The Present Situation Index decreased to 25.5 from 29.8. The Expectations Index declined to 71.2 from 84.6 last month.

"Increasing uncertainty and apprehension about the future state of the economy and labor market, no doubt a result of the recent slowdown in job growth, are the primary reasons for the sharp reversal in confidence," said Lynn Franco, director of The Conference Board's Consumer Research Center. "Until the pace of job growth picks up, consumer confidence is not likely to pick up."

The Consumer Confidence Survey is based on a representative sample of 5,000 U.S. households.