WASHINGTON, Aug. 26 (Xinhua) -- U.S. consumer confidence index slipped 0.8 points to 89.4 in August, down from 90.2 in July, according to data released Tuesday by the Conference Board.
"Consumer confidence moderated slightly in August for a second consecutive month," said Dana M. Peterson, chief economist at the Conference Board. "Looking ahead, consumers were more pessimistic about business conditions and the labor market over the next six months."
Consumers' write-in responses on factors affecting the economy were slightly more pessimistic in August, while references to prices in general -- and oil and gas specifically -- remain elevated, said the report, adding that confidence across all age groups trended down slightly.
Some economists contended that consumers' overall confidence is low and showing no signs of improvement.
Dean Baker, a macroeconomist and co-founder of the Center for Economic and Policy Research, told Xinhua that consumer confidence is "low and not getting better."
"One item that is striking is that expected spending on most items is trending down pretty steeply. That is not a good story," Baker said.
Other economists said they do not expect much economic improvement in the short term.
"With real household incomes flat for the year, and job growth is anemic... I don't expect an improvement in the near term," said Gary Hufbauer, a nonresident senior fellow at the Peterson Institute for International Economics.
Consumers' average 12-month inflation expectations were slightly more elevated in August. Most consumers -- 61.3 percent -- still anticipated higher interest rates over the next 12 months, down moderately from 62 percent in July, said the report.
The share of consumers who said their finances were "bad" rose in August, while consumers' views of their family's future financial situation remained healthy but slightly less optimistic in August compared to June and July, the report found.
While the share of consumers who said a U.S. recession over the next 12 months is "very likely" ticked up, consumers overall still perceived a low likelihood of a recession in 12 months, it said.
All this comes in the lead-up to November's midterm elections and at a time when the GOP is facing losses in the House and Senate.
U.S. President Donald Trump campaigned on promises to tamp down the inflation that took hold during the previous administration. However, most consumers still feel squeezed by inflation, leading to what many call an affordability crisis.
"The weakness of consumer confidence is bad for Republicans because it slows purchases," Brookings Institution Senior Fellow Darrell West told Xinhua.
"When people are worried about the future, they are not likely to spend more. They will sit on what they have as opposed to buying new goods and services. It will be problematic for Republicans if those fears continue through November," said West.
Other experts expressed similar sentiments.
"This report is one more piece of bad economic news for Republicans," said Christopher Galdieri, a political science professor at Saint Anselm College in the northeastern state of New Hampshire.
"Voters who are losing faith in the economy tend to blame the party in power and punish them at the ballot box," Galdieri said. ■