NEW YORK — If you’re a U.S. consumer, why would you be confident? Following a string of bad news that threatens the painfully slow economic recovery, consumer confidence fell to a seven-month low in June on continuing worries about high unemployment and stagnating wages, according to a report released Tuesday by a private research group.
The Conference Board’s Consumer Confidence Index fell to 58.5 in June. That’s down from a revised 61.7 in May.
“Americans still feel like they’re in a recession,” said C. Britt Beemer, chairman of America’s Research Group. “They feel like they’re driving in a car and getting hit by all sides.”
A reading of 90 indicates a healthy economy on the index, which measures how Americans feel about business conditions, the job market and the next six months. But the index hasn’t approached that level since the recession began in December 2007. In fact, two years after the recession officially ended in June 2009, consumer confidence is still fragile.
“Consumers are growing increasingly worried about the near-term economic outlook,” said Mark Vitner, senior economist at Wells Fargo.
Jim Horseman, 55, a railroad engineer from Avon, Ohio, is among consumers who remain queasy about the economy. He said he needs to buy a new car but is putting it off.
“I’m not giving up my money. I’m holding on to my savings,” Horseman said.
