Much of the decline in confidence over the past two months can be attributed to the recent hurricanes, (gas) pump shock and a weakening labor market.

Barring an unforeseen shock, we would expect consumer confidence to continue to hover around current levels, indicating continued economic growth.

As rebuilding efforts take hold and job growth gains momentum, consumers' confidence should rebound and return to more positive levels by year-end or early 2006.

Consumer confidence readings continue to indicate a strong overall economy. Consumers are not only optimistic about current conditions, but their expectations for the next six months signal continued low unemployment and minimal inflationary pressures.