Consumer confidence plunges near historical low: ABC

NEW YORK (Reuters) - American consumers' confidence plummeted in the latest week, with only 10 percent of respondents in a recent poll having a positive view on the economic outlook, a report showed on Tuesday.

The ABC News Consumer Comfort Index plunged to -47 in the week to July 27, near its all-time low of -51, reached in May, and down six points from the previous week. Its historical average is -10.

"Declining confidence comes on the heels of a range of negative economic news," ABC said. "The National Association of Realtors reported worse-than-expected existing home sales in June. (Gasoline) prices, though down 11 cents this week, are still averaging a steep $3.96 a gallon."

The report also mentioned sluggish retail and auto sales, a declining real estate market and high energy costs as the focus of consumer concerns.

Earlier on Tuesday, the Conference Board said its U.S. consumer confidence index rose to 51.9 in July from 51.0 in June. Economists were expecting a reading of 50.0.

The Consumer Comfort Index components were all lower from the previous week. Positive views on personal finances fell 3 percentage points to 49 percent and those on the buying climate lost 2 percentage points to 21 percent. The biggest decline was in positive views of the national economy, down 4 percentage points to 10 percent.

Confidence measures are generally viewed as a barometer of consumer spending, which accounts for two-thirds of the U.S. economy. However, economists note that consumers do not always act in accordance with their statements to surveys.

The ABC News consumer confidence survey was based on a sample of about 1,000 interviews conducted in the four weeks ending July 27 and has a margin of error of plus or minus 3 percentage points.

(Reporting by Rodrigo Campos; Editing by Dan Grebler)