U.S. consumer confidence falls to a five-month low in October

ME News reports that on October 9 (UTC+8), U.S. consumer confidence declined at the start of October, as inflation continues to pressure households, with perceptions of current economic conditions hitting a historic low. According to a survey released by the University of Michigan on Friday, the preliminary consumer confidence index fell to 46.3, the lowest since May and below the economists’ median forecast of 47.6. The current conditions index dropped from 50.9 last month to 44.7, setting a new historical low. The expectations index rose slightly from 46.3 to 47.3, marking its first increase since July. Consumers expect prices to rise by 4.7% over the next year, slightly higher than September’s 4.6%. They also anticipate an average annual inflation rate of 3.5% over the next five to ten years, also slightly above September’s expectations. Joanne Hsu, who oversees the survey, stated in a statement that confidence fell sharply among low-income consumers and those with smaller stock portfolios. Increases in confidence among Democratic and Republican supporters were offset by declines among independents. Hsu said: “Regardless of political affiliation, consumers across all ideologies agree that economic prospects have weakened compared to before the Iran conflict erupted earlier this year.” (Source: ODAILY)