RAMSEY, N.J., June 12 (UPI) -- A monthly index of consumer optimism showed U.S. consumer confidence hit a low for the year in June.
The Economic Optimism Index, released by the Investor's Business Daily TechnoMetrica Institute of Policy and Politics, showed consumer sentiment about economic conditions fell by 1.8 points or 3.7 percent from May to June, with the index reaching 46.7.
The index is 2.6 points above its 12-month average of 44.1, IBD/TIPP reported.
The index is derived from a national survey that included more than 900 interviews conducted in the first week of each month. The results carry a margin of error of plus or minus 3.3 percentage points.
The Economic Optimism Index includes three components: the Six-Month Economic Outlook, the Personal Financial Outlook and the Confidence in Federal Economic Policies Index. All three components declined in June, IBD/TIPP reported
The Six-Month Economic Outlook Index fell by 7.1 percent to 46.8, off 3.6 points.
The Personal Financial Outlook Index dropped 0.4 percent to 56.1, off 0.2 points.
The Confidence in Federal Economic Policies Index gained fell 4.1 percent to 37.1, off 1.6 points.
"Consumer confidence declined as the high unemployment persists," said Raghavan Mayur, president of TIPP, a unit of TechnoMetrica Market Intelligence, IBD's polling partner.
"According to our survey, 24 percent of households have at least one member of their household unemployed and looking for employment now which translates to approximately 30 million Americans," Mayur said.
Forty-three percent of survey respondents indicated they believed the economy was growing, while 54 percent indicated the economy was shrinking.