Consumer confidence among Floridians declined for the fourth consecutive month in October, according to the University of Florida’s Bureau of Economic and Business Research (BEBR).
The state’s Consumer Sentiment Index fell one point to 78.3 from a revised 79.3 in September, mirroring a 1.5-point decline in national sentiment during the same period. The latest report, published on Tuesday, indicates that most Floridians expressed greater concern about their personal finances and the broader economic outlook.
The monthly index is based on five components that gauge consumers’ perceptions of current and future economic conditions. Four of the five declined in October. Assessments of personal finances compared with a year ago slipped from 71.6 to 70.9, while opinions on whether it is a good time to purchase major household items dropped 1.6 points to 69.7. Expectations for U.S. economic conditions over the next year decreased from 83.6 to 82, and long-term views of the national economy over the next five years fell 2.1 points to 80, marking their steepest decline since January.
The only component to rise was expectations of personal financial situations a year from now, which increased from 87.8 to 88.8.
“Consumer confidence among Floridians continues to decline, largely due to more pessimistic views about their personal finances and the national economic outlook,” said Hector H. Sandoval, director of the Economic Analysis Program at BEBR. “Expectations about the country’s economy have weakened notably, views of the national economy over the next year have fallen for three straight months, while long-term expectations have declined for four. In fact, these two components have seen the steepest declines since January, signaling that Floridians are increasingly cautious about the national economic outlook.”
The report noted that the declines were broadly shared across demographic groups, though women generally expressed more favorable views of current finances, and respondents under 60 reported slightly greater optimism about future spending and national conditions.
Sandoval said that economic pressures continued to weigh on households in October, with inflation remaining roughly one percentage point above the Federal Reserve’s 2 percent target and one-year-ahead inflation expectations increasing. He added that lower interest rates following the Fed’s second consecutive rate cut may have provided some relief, though elevated prices continue to strain household budgets.
The report also cited several ongoing sources of uncertainty, including continued trade tensions and a federal government shutdown that lasted through all of October. If the closure extends further into November, the report stated, it could deepen consumer pessimism and further suppress sentiment through the end of the year.
The findings are based on interviews conducted between September 1 and October 30 with 826 Floridians representing a cross-section of the state’s population. Data are weighted by county, age, and sex to align with official population estimates.
