Consumers report feeling more dour about the US economy as rising gas prices and trade tensions weigh on personal finances and business outlooks, according to a new survey from the University of Michigan.
A preliminary reading showed consumer sentiment fell to 47.8 this month, down from 51.7 in August and below economists' expectations of 51. The gauge marked the second consecutive month of worsening sentiment.
Read more: What is consumer confidence, and why does it matter?
Notably, inflation expectations for the next 12 months jumped to 4.6% from 4% last month, increasing to the highest level since June. Longer-run inflation expectations also edged higher to 3.4%.
"With a resurgence in fuel prices and trade tensions, consumers anticipate greater pressures on their pocketbooks to come," survey director Joanne Hsu said.