Consumer shopping consumer sentimentConsumer sentiment slipped to 67.9 in October, as Americans continued to be reluctant about purchasing decisions amid uncertain income gains. A Bloomberg survey had forecast sentiment to rise to 69 in October (preliminary) from September's 68.2 reading. The index was at 68.9 in August, 67.8 in July, and 76 in June.

Richard Curtin, director of surveys for the Thomson Reuters/University of Michigan Surveys of Consumers, said Americans have not found a satisfactory answer yet to their income questions. "Personal financial expectations were near their all-time low, and the steep decline in buying plans was related to uncertainty about consumers' future income prospects," Richard Curtin said in a statement, Reuters reported.

Better Days Ahead? Not Likely

In October, the consumer expectations component of the Thomson Reuters/Michigan survey rose to 64.6 from 60.9 in September. However, that component is still well below the June 69.8 reading. The current conditions component plunged to 73 from 79.6 in September, and is also far lower than June's 85.6 reading.

Consumers' one-year inflation outlook rose to 2.6% in October from 2.2% in September, and their five-year inflation outlook was 2.7%, unchanged from September.

October's consumer sentiment report shows how far U.S. consumers are from being certain that better days are ahead. The data reflects Americans whose sentiment is encouraged by rises in the stock market, corporate earnings and by other economic reports only to have that rising sentiment dashed by disappointments in the jobs market.

Consumer sentiment isn't likely to rebound in a sustained way until Americans become convinced that both sustained job growth is occurring and that their incomes will likely rise in the year ahead.

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mikfete58

Consumers lose some confidence in October?! How about ALL confidence: In our government, bailouts, wall street and the value of the American Dollar (.70 cents!) Great Depression 2 is here.

October 18 2010 at 2:21 AM Report abuse +1 rate up rate down Reply
shm3418

and just this morning the writers wrote about how OPEC wants 100$ a barrel...funny but it's always easier to blame OPEC at the pump than to lench wallstreet and nymex! Even nobama likes to blame someone else instead of himself! REmember in Nov.!

October 15 2010 at 4:25 PM Report abuse -1 rate up rate down Reply
shm3418

REALLY? well what do you know....a writer has figured out how to write about mainstreet without sugar coating it! Remember in Nov.!!!!

October 15 2010 at 4:23 PM Report abuse -1 rate up rate down Reply
shoiley

i have yet to see ben bernanke make eye contact with a camera and today he looks downright furious. i don't feel comfortable with his handling of the market! one smile a year would be reassuring.

October 15 2010 at 12:54 PM Report abuse +4 rate up rate down Reply