NYT: Americans grow more pessimistic about economy

RAW STORY
Published: Tuesday August 29, 2006

Americans are growing more pessimistic about the economy, according to a story slated for the front page of Wednesday's New York Times.

"Americans are more pessimistic than they have been all year about the state of the economy, according to a new report that reflects a widespread view that a period of brisk growth is coming to an end," writes Jeremy W. Peters for the Times.

Excerpts from the article:

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The Conference Board said Tuesday that in its monthly survey, American consumer confidence fell sharply in August to its lowest level since last November. The latest index reading of 99.6 was below the 107.0 reported in July, and represented the steepest single-month decline since the immediate aftermath of Hurricane Katrina a year ago.

"Ouch," wrote Ian Shepherdson, chief U.S. economist with High Frequency Economics, in a research report on the index.

The pace of growth in the American economy has slowed by more than half since the first quarter, and many economists say they think the outlook will grow worse, not least because consumers sense the slowdown and are reining in their spending accordingly.

"Looking ahead, the glass remains half empty, as consumers are growing increasingly more pessimistic about the short-term outlook," Joshua Shapiro, chief U.S. economist with MFR, wrote Tuesday in a research note.

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FULL TIMES ARTICLE CAN BE READ AT THIS LINK