The Index of Consumer Sentiment was 87.6 in the August 2002 survey, its lowest level recorded in eight months, and nearly identical with its fifty year average of 87.9. The Index of Consumer Expectations, a closely watched component of the Index of Leading Economic Indicators, was 80.6 in August, insignificantly below the 81.0 in July.
One-in-three households reported that their finances had worsened in August, the largest proportion recorded in ten years. References to declines in wealth were three times higher in August than following the 1987 stock market crash. When asked to explain how their finances had changed, one-in-ten consumers spontaneously mentioned declines in the value of their assets. "References to declines in household wealth were more frequent in August than at any other time in the fifty year history of these surveys," according to Curtin.
"The declines in stock values have caused consumers to redouble their efforts to save more out of their current incomes to help secure a comfortable retirement," said Curtin.
In the August survey, just one-in-seven consumers expected the national economy to worsen during the year ahead, despite the fact that three-in-four consumers held more negative views on current economic conditions. Consumers expressed the least confidence in government economic policies since President Bush first entered office. Nonetheless, the current level of confidence in economic policies is still quite favorable compared with prior Presidents.
You can find out more here.