Consumers expecting business conditions to deteriorate outnumbered those who expected an improvement by more than three-to-one. Those expecting more job losses topped those expecting an improvement in the labor market by more than four-to-one.
So who's right? Even some economists think it's not a good idea to ignore what consumers are saying.
"I would guess that the consumers are going to be right," said Keith Hembre, chief economist First American Funds.
He said the combination of record high energy prices, rising unemployment and job losses, a historically bad housing market and continued tightening of credit gives consumers every reason to expect the economy to get worse.
"Those four headwinds are not fading," Hembre said.
Lynn Franco, director of The Conference Board's Consumer Research Center, suggested that with consumers feeling so grim, they may pull back on plans to make big-ticket purchases. That can slow the economy even further than current experts are forecasting.
In fact, the Conference Board survey showed consumers' intentions to buy just about every type of big-ticket item, from cars to appliances, fell this month. The only thing consumers planned to buy more of was air conditioners. Fewer Americans also planned to take a vacation, according to the survey.
