U.S. consumer confidence declines more than forecast in September

The Conference Board announced on Tuesday its U.S. consumer confidence gauge fell 9.1 points to 125.1 in September from 134.2 in August.

Economists had expected consumer confidence to come in at 133.5.

August’s consumer confidence reading was revised down from originally estimated 135.1.

The survey showed that the expectations dropped from 106.4 last month to 95.8 this month, while the present situation index decreased from 176.0 to 169.0.

Lynn Franco, Senior Director of Economic Indicators at The Conference Board, noted, “Consumer confidence declined in September, following a moderate decrease in August. Consumers were less positive in their assessment of current conditions and their expectations regarding the short-term outlook also weakened. The escalation in trade and tariff tensions in late August appears to have rattled consumers. However, this pattern of uncertainty and volatility has persisted for much of the year and it appears confidence is plateauing. While confidence could continue hovering around current levels for months to come, at some point this continued uncertainty will begin to diminish consumers’ confidence in the expansion.”