Utah’s consumer sentiment fell 3.7%, from 71.3 in September to 68.6 in October, according to the Zions Bank Consumer Sentiment Survey. Although the decline falls within the survey’s margin of error, it marks a further decrease in sentiment from the previous month. Nationally, consumer sentiment remained relatively unchanged, edging down 0.2% from 48.1 in September to 48.0 in October, according to the University of Michigan’s Consumer Sentiment Index.
The Utah index fell to its lowest reading since Nov. 2022 (64.1), and the subindex measuring whether it is a good time to purchase durable goods, such as furniture, fell 21%. The most likely cause of this change is persistent inflation and rising interest rates.
“The drop in durable goods sentiment is an understandable response to a price shock. To make room for continuing increases in necessities, consumers are pushing off big purchases,” said Zions Bank senior economist Robert Spendlove. “As we enter the holiday season, consumers should keep an eye on how economic changes will affect their holiday spending and budget accordingly.”
