Consumer confidence drops for second straight month

NEW YORK (AP) -- Consumer confidence dropped for the second consecutive month in August, a sign of growing concern about a lack of jobs and unemployment, a private research group said Tuesday.

The New York-based Conference Board said its Consumer Confidence Index eroded to 114.3, down from a revised 116.3 in July. The drop was the second in a row, after gains in May and June.

"The deteriorating U.S. job market dampened consumer spirits this month," said Lynn Franco, director of the Conference Board's Consumer Research Center. "The nation's employment and unemployment numbers now bear watching, since continued weakness could translate into slower consumer spending."

The Conference Board index, based on a monthly survey of some 5,000 U.S. households, is considered a key indicator because consumer spending accounts for about two-thirds of the nation's economic activity.