So much for the confidence rally. June is apparently National Shopper Pessimism Month.
The Conference Board Consumer Confidence Index, which had shown considerable improvement in May, retreated again this month. The Index dropped to 49.3 from 54.8 in May.
The news sent the S&P Retail Index down 1% to 321.85 in afternoon trading. Notable decliners include
, which fell 1% to $39.24,
, which slipped 2% to $11.66,
, which dropped 2% to $66.58 and
, which decreased 2% to $42.65.
The Present Situation Index also fell to 24.8 from 29.7 last month, and the Expectations Index dropped to 65.5 from 71.5.
And this fear is stifling retail sales. While the week that ended on June 27 showed some improvement, overall June sales are expected to be weak, according to the International Council of Shopping Centers and Goldman Sachs.
Of the 5,000 U.S. households surveyed, those believing business conditions are currently "good" decreased to 8% from 8.8%, while those saying conditions are "bad" jumped to 45.6% from 44.5%.
Consumers' assessment of the job market was also darker. Those stating jobs are "hard to get" rose to 44.8% from 43.9%, while those saying jobs are "plentiful" declined to 4.5% from 5.8%.
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