FXstreet.com (Barcelona) Consumer confidence has collapsed in May to its lowest level since 1980 in the United Stated, weighed by food and fuel prices, shrinking employment and falling home prices, according to the latest consumer sentiment report due by Reuters and the University of Michigan.
The index of consumer confidence has fell to 59.8 in May from 62.6 in April and well below the 88.3 posted in May 2007. The index consumer expectations decreased to 51.5 in May from 53.3 in April and significantly below the 77.6 recorded in May 2007.
Current index was dropped, also, to 73.3 in May from 77.0 data posted in April.
Richard Curtin, the Reuters/University of Michigan Surveys of Consumers' Director, says that consumers are painfull aware that their living standards are shrinking under the weight of higher food and fuel prices.