February Consumer Confidence Drops to Three-Month Low

.S. consumer confidence declined in February to a three-month low following the highest level in almost four years, the Conference Board said Tuesday.

The index fell to 101.7 from a revised 106.8 in January, the group said.

Economists had forecast a decline to 104, Bloomberg reported.

The index’s level was at 105.5 in August, prior to the hurricanes, and it had averaged 97.5 over the previous five years.

he consumer confidence index is a predictor of consumer spending. When people are feeling less confident about the economy, they are less likely to spend money, which decreases demand for trucking services.

The percentage of those who said jobs plentiful rose to 27.3% in February, the highest since August 2001, from 27%.

Every month the Conference Board surveys 5,000 households on general economic conditions, their employment prospects and spending plans.