Consumer confidence weakened slightly in October as Americans remain anxious about their future financial prospects. The Conference Board said Tuesday that its consumer confidence index fell by 1 point to 94.6 in October from an upwardly revised September reading of 95.6. Analysts were expecting the reading to come in unchanged from the previous month. One year ago, the reading was 109.5. A measure of Americans' short-term expectations for their income, business conditions and the job market dipped by 2.9 points to 71.5, remaining well below 80, the marker that can signal a recession ahead. However, consumers' assessments of their current economic situation rose 1.8 points to 129.3.

Ongoing tariff threats from Washington and potentially sweeping government job cuts have darkened consumers' mood and may be weighing on an otherwise mostly healthy economy. Data released Wednesday showed that consumers slashed their spending by the most since February 2021, even as their incomes rose. On a positive note, inflation cooled, but President Donald Trump's threats to impose large import taxes on Canada, Mexico and China — the United States' top trading partners — will likely push prices higher, economists say. Some companies are already planning to raise prices in response.