Consumer Confidence Drops From Nine-Month High
Consumer confidence fell in May from a nine-month high, according to the Thomson Reuters/University of Michigan preliminary sentiment index.
The index decreased to 81.8 from 84.1 in April. The median projection in a Bloomberg News survey of economists called for a gain to 84.5.
Food prices have risen, and the cost of gasoline has held near its highest level of the year, making buyers less secure in their finances.
“Higher energy prices, higher prices for gas, and the rising consumer food prices would be something I would look at as a factor holding back confidence gains,” said Robert Rosener, an economist at Credit Agricole.
“We’re watching these numbers closely to see what the household read is, whether they’re feeling the benefit of an improving labor market.”
