U.S. consumer confidence in the economy dipped slightly this month from August, with many Americans less optimistic about the prospects of new employment or pay increases padding their savings accounts in the next six months.
American Consumers Don’t Believe Economy Will Improve Soon
Lynn Franco, who oversaw the survey for the Conference Board, told USA Today that most participants voiced concerns about the U.S. job market and wages. ”While overall economic conditions appear to have moderately improved, consumers are uncertain that the momentum can be sustained in the months ahead,” Franco said.
American consumers were more cautious with their spending as their income barely grew in August. Although the U.S. unemployment rate dropped to 7.3 percent from 7.4 percent last month, it was mostly attributed to Americans who stopped looking for work and thus were no longer listed as unemployed.
A weak economic outlook for the rest of 2013 was also the main reason the Federal Reserve decided to delay the tapering of its monthly $85 billion in bond purchases, possibly until December.