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Given the June spending data and reports of tumbling consumer confidence in July, many economists say a best case for consumer spending would be an annualized growth rate of 2 to 2.5 percent for the rest of this year.
British leisure company Whitbread owns a portfolio of hotels, pubs and coffee shops exactly the kind of business that should be ravaged in the current environment of rising costs and tumbling consumer confidence.
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The 10-year United States Treasury note tumbled after consumer confidence rose more than forecast and the government's auction of $11 billion in inflation-linked bonds drew less demand than traders anticipated.
But rising gasoline prices sent consumer confidence tumbling to a five-month low in early March, a separate report showed.
They cited in particular the market's reaction to a report on Tuesday showing consumer confidence tumbling to its lowest level since 1993.
Combined with existing angst over rising budget and trade deficits, as well as the tumbling dollar and fragile consumer confidence, any disappointment could cause investors to lock in profits and sell stocks en masse.
Figures released by the Conference Board this week showed that consumer confidence tumbled in August to a nine-month low.
Consumer confidence tumbled in February as persistent worries about jobs tarnished Americans' optimism, an industry group reported yesterday.
The Conference Board's widely followed gauge of consumer confidence tumbled in June, with particular weakness in its expectations for conditions six months down the road.
Pessimism among Britons has reached levels usually seen in a recession, while US consumer confidence tumbled to the lowest in two years.
Christian Noyer also warned that the upcoming Financial Transaction Tax could harm the French banking sector (see 2.23pm).... ....while French consumer confidence tumbled unexpectedly, to its joint-lowest level in decades.
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