US consumer sentiment dropped more than expected in June to its weakest in 10 months.
The Reuters/University of Michigan Surveys of Consumers said the preliminary reading on the June consumer sentiment index showed a decline to 83.7 from 88.3 at the end of May.
The fall came as higher petrol prices dampened consumers' mood and pushed up their expectations of inflation in the near-term.
The decline was much sharper than forecast by economists, who had expected a median reading of 88.0.
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But the decline in consumer confidence in June was "hardly surprising", the Reuters/University of Michigan survey said, noting that US petrol prices have topped $3 per gallon for six straight weeks.