Consumer confidence hits 4-month low

U.S. consumer sentiment dipped to a four-month low in September amid rising inflation rates and mounting cost-of-living concerns, according to survey results released Friday.

The University of Michigan Surveys of Consumers‘ index found that consumer confidence slipped to a reading of 48.1 in September, a 7 percent decrease from August and 15 percent less than in January.

The measure uses how people feel about personal finances, as well as the broader economy, to predict future spending — which accounts for the bulk of U.S. economic activity.

Consumer sentiment largely declined across the political spectrum, with both Republicans and Democrats confidence down from January.

Republican sentiment in September is 20 percent lower than in January, while Democrats are down 13 percent over the same period, according to the survey.

Joanna Hsu, the director of the Surveys of Consumers, cited renewed worries over rising fuel prices and re-escalation of trade disputes as primary factors driving the downturn in American consumers’ confidence.

“Overall, interviews reveal broad agreement across demographic and political groups that the outlook for the economy has softened over the course of the year,” she said in a statement.

Welcome to The Hill’s Business & Economy newsletter , I’m Julia Shapero — bringing you the latest on the intersection of Wall Street and Pennsylvania Avenue.

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