Consumer Sentiment Drops In November’s Final Reading
November 26, 2018
Consumers’ outlook on the economy fell more than expected for the month. The index dropped to 97.5, down from October’s 98.6. Economists had forecast a smaller decline to 98.3. Despite the decline, the index remains at historically high levels and is on track to have the best year since 2000.
The survey notes that the shift in sentiment appears to be driven by feelings about income. Among consumers with incomes in the bottom third, sentiment increased 10.4, but for those with incomes in the top third, it fell by 6.6.
The index is based on a survey of 500 consumers’ feelings about their personal finances and prospects, and their opinions of the economy at large with regards to inflation, interest rates, and unemployment.