Washington - A gauge of US consumer confidence fell in November for the third consecutive month as rising energy prices and turmoil in financial markets stoked Americans' concern about the economy and likely layoffs, researchers said Tuesday. The Conference Board's index slid to 87.3 from 95.2 in October, extending a decline begun in the summer. The share of people saying economic conditions are bad rose to 19.1 per cent from 16.6 per cent, the private survey said.
Consumers also grew more pessimistic about the US job market, with some 23 per cent expecting employers to have fewer jobs in the months ahead, said the index based on a monthly survey of 5,000 US households.
"Consumers' apprehension about the short-term outlook is being fueled by volatility in financial markets, rising prices at the pump and the likelihood of larger home heating bills this winter," said the group's chief researcher, Lynn Franco.
Consumer spending, which accounts for about two thirds of US economic growth, is fragile because the housing market slump and this year's fall in stock prices are draining key sources of wealth for Americans.
Tuesday's data gave mixed signals for the just-begun holiday shopping season. Despite an expected slowdown in US economic growth, consumers said they plan to spend more on gifts this season than last Christmas, the survey said.
But it said Americans are more concerned about inflation than at anytime in 2007 - a caution for the US Federal Reserve, which many economists expect to cut interest rates for a third time this year at its next policy meeting on December 11.
