Consumer confidence fell a bit at the end of August.
The University of Michigan’s final reading on consumer confidence in August came in at 91.9, down from the prior month and below expectations.
The preliminary reading came in at 92.9 and Friday’s final number was expected to come in at 93.0.
Weighing on the reading seemed to be the recent volatility in the stock market, something New York president Bill Dudley hinted could be the case earlier this week.
In the release, Richard Curtin, chief economist for the survey wrote, “How will consumers react to volatile stock prices? The Black Mondays of October 17, 1987 and August 24, 2015 represent two episodes when the stock market declined mainly due to reasons other than the domestic economy. Prior to each stock decline, the Sentiment Index was very positive, but immediately following, it fell by about 10%. Consumers quickly dismissed the 1987 episode since it didn’t involve their jobs or incomes, and today’s consumers hold similar favourable views about their job and income prospects.“
Curtin added that this report still implies that consumer spending will still grow through the end of this year and into 2016.