Consumer Sentiment Plunges to 7-month Low

Published on:
12 September 2006 at 10:21 a.m. ET

Written by: Unknown Author –

http://www.insidearm.com/news/00015959-consumer-sentiment-plunges-to-7-month-low/

Consumers are feeling less secure about the current economic situation than they were back in October. The index fell from 87.4 in April to 74.2 in May — the lowest since October’s dismal 74.2, according to a story running on MarketWatch.

Consumer sentiment has plunged in four of the past five months after a 91.5 peak in December.

To blame? Most would point fingers at sky-rocketing gas prices. “If sentiment stays at this level — it might even decline further — you should expect a serious slowing” in consumption, said Ian Shepherdson, chief U.S. economist for High Frequency Economics.

You can read the full story at Consumer Sentiment Plunges to 7-month Low.