Consumer confidence knocked from 15-year high as people grow less optimistic about future income

People carry shopping bags outside Macy's Herald Square in New York.
Andrew Kelly | Reuters

The Consumer Confidence Index decreased to 111.8 in January after reaching a 15-year high in December, according to a monthly survey released on Tuesday.

Economists expected the index to hit 113 in January, according to Thomson Reuters, down from 113.7 in the prior month.

"The decline in confidence was driven solely by a less optimistic outlook for business conditions, jobs, and especially consumers' income prospects. Consumers' assessment of current conditions, on the other hand, improved in January. Despite the retreat in confidence, consumers remain confident that the economy will continue to expand in the coming months," said Lynn Franco, Director of Economic Indicators at The Conference Board, in a release.

Those saying business conditions are good increased from 28.6 percent to 29.3 percent, while those saying conditions were bad decreased from 17.8 percent to 16.1 percent. However, consumers' short-term outlook, which saw a big increase in December, has declined, from 24.7 percent to 23.1 percent. Those expecting conditions to worsen increased from 8.9 percent to 10.7 percent.

The survey, a closely followed barometer of consumer attitudes, measures confidence toward business conditions, short-term outlook, personal finances and jobs.