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Market chaos drains consumer confidence

Pittsburgh Post-Gazette, by Patricia Sabatini

Consumer confidence took a nose dive in August, plunging to the lowest level in more than two years as Americans appeared shaken by turmoil in the financial markets.

The bitter battle over the nation’s debt ceiling, the country’s credit rating downgrade and wild swings in the stock market “definitely turned consumers’ stomachs in August,” said Robert Dye, chief economist at Comerica Bank in Dallas.

The Conference Board’s Consumer Confidence Index dropped almost 15 points to 44.5, down from 59.2 in July. It was the lowest reading since 40.8 in April 2009.


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