Consumer Confidence Falls to 16-Year Low

Consumer confidence fell to the lowest level in more than 16 years this month, the New York-based Conference Board said Tuesday.

The group’s monthly index declined to a 50.4 reading, from a revised 58.1 in May. It was the lowest since February 1992.

The reading was low due to falling property values, rising unemployment and high fuel and food prices, Bloomberg reported.

The level was well below economists’ forecasts of a 56 reading, Bloomberg said.

The consumer confidence index is a predictor of consumer spending. When people are feeling less confident about the economy, they are less likely to spend money, which decreases demand for trucking services.