Consumer Confidence Falls to Levels Usually Seen During Recessions

Wait, the public doesn't have confidence in the steady hand of Joe Biden?

Hard to believe.

The confidence of American households in the health of the U.S. economy unexpectedly declined in August, with optimism about the future dropping near to levels typically associated with the approach of a recession.

The index of U.S. consumer confidence fell to 106.1 in August from a revised 114 in the prior month, the Conference Board said Tuesday. Economists had forecast a reading of 116.6, down slightly from the initial reading of 117.0 for July. The prior month's figure was revised down 114.0.

"Consumer confidence fell in August 2023, erasing back-to-back increases in June and July," said Dana Peterson, Chief Economist at The Conference Board. "August's disappointing headline number reflected dips in both the current conditions and expectations indexes.

The gauge of how consumers feel about current economic conditions declined to 114.9 from 153.0. The share of consumers saying jobs are plentiful dropped to 40.3 percent from 43.7 percent in July. The share of those saying jobs are "hard to get" rose to 14.1 percent from 11.3 percent.

The share of consumers saying business conditions are bad rose by one point to 17.2 percent. The share saying conditions are good was unchanged at 20.7 percent.

Consumer fears of inflation are once again on the rise.

Indeed -- JusttheNews reports that food prices are expected to rise throughout 2024.

Recently released federal pricing analysis from the U.S. Department of Agriculture projects that food prices will continue to rise through 2024.

The USDA pointed to the U.S. Bureau of Labor Statistics Consumer Price Index released earlier this month, which showed consumer prices overall rose 3.2% in the previous twelve months. Food prices, though rose more quickly at 4.9% during the same time.

Now, USDA says that increase will continue.

"Food prices are expected to grow more slowly in 2023 than in 2022 but still at above historical-average rates," USDA said in its analysis. "In 2023, all food prices are predicted to increase 5.9%, with a prediction interval of 5.3% to 6.5%. Food-at-home prices are predicted to increase 5.2%, with a prediction interval of 4.4% to 6.1%. Food-away-from-home prices are predicted to increase 7.1%, with a prediction interval of 6.8% to 7.5%."

Food prices are rising more slowly than the fever pitch inflation spike earlier in the Biden administration, but those prices are still increasing.

"Food prices are expected to continue to decelerate but not decline in 2024," USDA said. "In 2024, all food prices are predicted to increase 2.8%, with a prediction interval of -2.0% to 7.9%. Food-at-home prices are predicted to increase 2.1%, with a prediction interval of -5.1% to 9.9%, and food-away-from-home prices are predicted to increase 5.1%, with a prediction interval of 2.7% to 7.5%."

Food costs soared in particular in 2022, rising by 9.9%. While 2022 saw the largest spike, prices had already begun rising earlier in the Biden administration.

Oh well, if food is too expensive, you can instead eat Trans Propaganda, which is plentiful.

posted by Ace at 05:30 PM

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