Consumer Confidence Slips to Nine-Month Low in November

U.S. consumer confidence slipped to a nine-month low in November, decreasing four out of the past five months. Novembers’ reading was driven by rising prices and continued COVID concerns, reported The Conference Board.

“Consumer confidence moderated in November, following a gain in October,” said Lynn Franco, senior director of economic indicators at The Conference Board. “Expectations about short-term growth prospects ticked up, but job and income prospects ticked down. Concerns about rising prices—and, to a lesser degree, the Delta variant—were the primary drivers of the slight decline in confidence. Meanwhile, the proportion of consumers planning to purchase homes, automobiles, and major appliances over the next six months decreased. The Conference Board expects this to be a good holiday season for retailers, and confidence levels suggest the economic expansion will continue into early 2022. However, both confidence and spending will likely face headwinds from rising prices and a potential resurgence of COVID-19 in the coming months.”