US consumer confidence down again

Increases to US petrol prices are said to have lowered consumer confidence

Consumer confidence in the US has fallen for the second month in a row, the latest figures show.

The consumer confidence index for March dropped two points to 102.4, down from a revised 104.4 in February, said the New York-based Conference Board.

The decline in confidence was blamed on increases to gasoline (petrol) prices.

Analysts had been expecting a reading of 103, but Lynn Franco, director of the organisation's consumer research centre, said consumers remained upbeat.

'Jobs fears'

"Consumers are still quite confident despite recent increases in unemployment claims and rising prices at the gas [petrol] pump," said Ms Franco.

"In fact, while expectations have lost ground, consumers anticipate the job market will continue to improve, and easing employment concerns should help keep spending on track."

Gary Thayer, chief economist at AG Edwards and Sons, said the state of the US jobs market was another concern for some people, with his opinion that the employment picture was "mixed".

Consumer spending accounts for two-thirds of overall economic activity in the US, but in recent years actual retail sales have been higher than the recorded consumer confidence levels.