US consumer confidence slips to seven-month low as gas stays above $4

The Conference Board announced that its consumer confidence index slipped to 89.4 for August, down from 90.2 in July and the lowest figure in seven months. Survey comments highlighted continued gasoline prices above $4 per gallon, a situation linked to the ongoing conflict in Iran. While respondents said their present economic situation seemed slightly better, their short-term outlook turned more negative, with heightened concerns about oil, food, trade and jobs.

President Donald Trump attributed the high prices to his predecessor, Joe Biden, despite inflation rising since Trump’s inauguration. The Federal Reserve’s personal consumption expenditures price index rose 3.7% year-over-year in June, a decline from May’s 4.1% but still above the pre-war level. Labor market views improved for the current month, yet expectations for job availability over the next six months fell, reflecting recent job cuts and revisions that erased hundreds of thousands of payrolls.