U.S. consumer confidence fell unexpectedly in November to its lowest level since June as optimism faded in the short-term outlook for business conditions and jobs, according to a private-sector report released Tuesday. The decline came just ahead of the crucial holiday shopping period. The Conference Board said its index of consumer attitudes fell to 88.7 this month from 94.1 in October. Economists had expected confidence to strengthen, largely due to lower oil prices. The index's present-situation gauge fell to 91.3 in November from 94.4 the previous month. The expectations measure fell to 87.0 from 93.8 in October. Consumers' views on business conditions and the labor market worsened this month. "Consumers were somewhat less positive about current business conditions and the present state of the job market; moreover, their optimism in the short-term outlook in both areas has waned," Conference Board index director Lynn Franco said in a statement. "However, income expectations were virtually unchanged, and gas[oline] prices remain low, which should help boost holiday sales." Economists closely watch consumer-confidence indexes for clues on consumer spending, which accounts for 70 percent of U.S. economic activity.
