US Consumer Confidence Drops Sharply Before Midterms

Americans are increasingly pessimistic about the economy ahead of the midterm elections, even as forecasters expect September hiring to remain solid and unemployment low. A Napolitan News Service survey found 43% of voters rated the economy poor, 56% said it was getting worse, and 39% believed the country was in a recession; pessimism was especially pronounced among Main Street voters. Separately, the Conference Board’s consumer confidence index fell sharply in September to its lowest level in more than a decade, with rising gasoline prices, inflation and living costs weighing on respondents. Worker confidence has also weakened, while approval of President Trump’s handling of the economy and cost of living remains low. Together, the surveys point to a widening gap between relatively resilient labor-market indicators and Americans’ increasingly bleak views of their finances and economic prospects.