28 Oct 2009

US consumer confidence down

12:24 pm on 28 October 2009

Confidence among American consumers is at its lowest for 26 years.

The Consumer Confidence Index from the Conference Board business organisation slipped to 47.7 from a revised 53.4 in September.

Analysts were expecting the index to be unchanged or even up slightly.

Rising unemployment played a major role in knocking confidence. The US jobless rate rose 9.8% in September.

IHS Global Insight chief economist Nariman Behravesh says confidence is likely to remain low for some time, as the unemployment picture will be 'pretty bad' for some time.