Consumers are not so stimulated these days.
Major stock market indexes fell after the Conference Board’s consumer confidence index showed households felt gloomier about their current situation and less optimistic about what the coming months might bring.
Kevin Kruszenski, head of listed trading at Keybanc Capital Markets in Cleveland, said the confidence data “kind of took the wind out of things a little bit.”
Investors had been in a somewhat better mood since an early March trough as economic data suggested the pace of the recession was slackening. But with no clear sign that growth is about to resume, sentiment has begun to fade in recent weeks.
The consumer confidence index fell to 49.3 in June from 54.8 in May. Economists polled by Reuters had expected a healthier reading of 55.0 for the month.