Consumer confidence in the United States has declined for the first time in three months, and inflation is rising. Wen

On 14 August, consumer confidence in the United States declined for the first time in three months, owing to household concerns about the deterioration of business and rising inflation. According to survey data released by the University of Michigan on Friday, the consumer confidence index (CPI) opening value dropped to 51 in August, below the final July value of 55.2. Economists expect a median of 55. Consumers expect prices to rise by 4.3 per cent in the coming year, a small increase from the previous month and significantly above the levels that existed before the Iranian conflict in February. They also expect prices to rise at an annual rate of 3.3 per cent over the next 5 to 10 years. After two consecutive months of improvement, consumer confidence in short- and long-term economic prospects has deteriorated. Consumer expectations of the labour market have changed little since the beginning of the year. Surveys show that consumers are increasingly concerned about inflation, while concerns about unemployment have declined. The survey covered responses collected between 28 July and 10 August. During this period, the average United States-wide price of petrol has hovered at over $4 per gallon. Another report released on Friday indicated that retail sales in the United States had been down by more than a year in July because consumers had reduced the purchase of cars and online shops. Kim Xian