Consumers last month were the most pessimistic they've been in at least 26 years, indicating their spending is unlikely to trigger an economic recovery.
The sentiment index dropped to 31.4 in July from 32.6 in June, the lowest since the government began compiling the figures in 1982, the Cabinet Office said Tuesday. The median estimate of seven surveyed economists was for confidence to fall to 32.
The government said last week the economy may be in a recession as rising prices cool profit growth, prompting companies to cut wages and hiring.
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