US Consumer Confidence Falls on Labor Market Worries

Summary

Bloomberg's Michael McKee reports that US consumer confidence fell to 90.8 in July, below the expected 92.4 and down from an upwardly revised 92.2 in June. The present situation index declined while expectations ticked up slightly. The drop came despite a fall in gasoline prices, with the labor market component showing a slight decrease in those viewing jobs as plentiful, suggesting oil price dynamics rather than labor drove the decline.

• US consumer confidence fell to 90.8 in July, below consensus of 92.4.
• June reading revised up to 92.2.
• Present situation index dropped to 114.9 from 116.4; expectations rose to 74.7 from 74.4.
• Labor market: jobs plentiful fell to 24.5 from 25.5, "hard to get" fell to 21.5 from 21.7.
• Deterioration occurred despite lower gasoline prices during the month.
• Michael McKee suggests oil price concerns rather than labor market drove the decline.