Consumer confidence slumps to five-month low on inflation, jobs outlook

Core Insights - The job market remains stagnant, with hiring in August at 5.1 million and a hiring rate of 3.2%, showing little change from July [3] - Unemployment increased by 0.1 percentage points to 4.3% in August, indicating a worsening situation for job seekers [3] - Consumer spending rose by 0.4% in August, maintaining the same pace as July, despite rising concerns about inflation and job availability [5] - The Federal Reserve Bank of Atlanta has raised its forecast for third quarter economic growth to 3.9% from 3.3% [5] - Consumer confidence fell to a five-month low in September, driven by anxiety over inflation and the job market [7] Economic Indicators - The personal consumption expenditures price index, excluding food and energy, remained at a 2.9% annual rate [5] - The share of consumers reporting that jobs are plentiful decreased from 30.2% to 26.9%, while those finding jobs hard to get remained at 19.1% [7] - The assessment of business conditions by consumers has become less positive, with expectations for improvement declining [7] Consumer Sentiment - Households express feelings of being "stuck" in the economy, with rising concerns about inflation and job availability potentially impacting discretionary spending [4] - Despite concerns, households have not yet reduced their spending [4] - The ongoing assessment of job availability has reached a multiyear low, reflecting a significant decline in consumer sentiment regarding the job market [7]