(Xinhua)
Updated: 2008-01-16 07:39

NEW YORK -- US CEO confidence declined at seven-year low, said the Conference Board, an economic research group on Tuesday.

The Conference Board Measure of CEO Confidence, which had declined to 44 in the third quarter of 2007, fell to 39 in the final quarter of 2007.

"CEOs' confidence in the state of the U.S. economy continues to wither and is now at a seven-year low," said Lynn Franco, director of the Conference Board consumer research center.

A reading of more than 50 points reflects more positive than negative responses. The last time the Measure fell below 40 was in the final quarter of 2000 when it fell to 31.

"Given continued trouble in the housing and credit markets, persistent volatility in financial markets and increases in energy prices, it's not surprising that confidence has eroded," said the director.

"Looking ahead, the majority of business leaders expect these lackluster economic conditions to prevail throughout the first half of 2008," he added.

CEOs' assessment of current economic conditions was considerably less positive, with just 7 percent of CEOs stating economic conditions had improved.

In assessing their own industries, business leaders were also less optimistic. Approximately 15 percent claim conditions are better, down from approximately 17 percent in the third quarter.