Washington, DC CNN  — 

Americans felt more pessimistic about the economy in August, following two straight months of growing confidence.

The Conference Board’s Consumer Confidence Index, which gauges Americans’ attitudes towards the economy and job market, fell to a reading of 106.1 in August, down from 114 in July, reversing the improvements made in the summer.

The falling optimism was mostly due to inflation worries. Consumers’ expectations of economic conditions in the coming month declined sharply.

“Consumer confidence fell in August 2023, erasing back-to-back increases in June and July,” said Dana Peterson, chief economist at The Conference Board, in a release.

“August’s disappointing headline number reflected dips in both the current conditions and expectations indexes. Write-in responses showed that consumers were once again preoccupied with rising prices in general, and for groceries and gasoline in particular.”

Gas prices have risen in recent weeks and student loan repayments resume in October, which could also weigh on consumer moods.

This story is developing and will be updated.