US consumer confidence falls

25.10.2011
Consumer confidence in the US took an unexpected fall in October dropping to its lowest level since March 2009 as worries over income and jobs rose.

But US house prices remained unchanged in August, suggesting that the market was stabilising.

The US Conference Board, an industry group, said its index of consumer attitudes fell to 39.8 from a upwardly revised 46.4 the month before. It was the lowest level since March 2009.

Economists had expected the index to rise to 46.0, according to a Reuters poll. September was originally reported as 45.4.

The present situation index slipped to 26.3 from 33.3, while the expectations index declined to 48.7 from 55.1. The expectations gauge was also at its lowest since March 2009.

"Consumer expectations, which had improved in September, gave back all of the gain and then some, as concerns about business conditions, the labour market and income prospects increased," Lynn Franco, director of the Conference Board Consumer Research Centre, said in a statement.