Consumers Are Downbeat on Economy

Consumer sentiment about the economy dropped to a 28-year low amid surging gasoline prices, falling home prices and a weakening job market.

Meanwhile, housing starts made an unexpected rebound in April, reflecting gains in the volatile multifamily segment for apartments and townhomes. But starts for single-family homes fell, and analysts predict continued turmoil in the housing sector.

The Reuters/University of Michigan index of consumer sentiment in early May dropped to 59.5 from 62.6, marking its lowest point since June ...