US consumer confidence experienced a significant decline in November, marking the largest drop in seven months. The Conference Board’s index fell by 6.8 points to 88.7, according to recent data. This figure was weaker than all estimates anticipated by economists in a Bloomberg survey, signalling a potentially concerning shift in consumer sentiment. The drop reflects growing anxiety among Americans regarding the labour market and the overall economic outlook.
A key component of the report, the gauge of expectations for the next six months, has fallen to its lowest level since April. Simultaneously, the measure of present conditions slumped to a more than one-year low. This suggests that consumers are not only worried about the current state of the economy but also have diminishing hopes for improvement in the near future. These converging factors highlight a broad sense of unease among consumers.
The Conference Board’s report also indicated that a still-elevated proportion of consumers believe that jobs are currently hard to find. Conversely, the percentage of consumers who perceive jobs as plentiful has decreased. The difference between these two metrics, which can provide insight into hiring trends, has declined to one of the lowest levels since the onset of the pandemic, further underscoring the growing concerns about the employment landscape in the US.
