Slipping US consumer confidence misses by most in 8 years

Positive US consumer sentiment fell slightly at the beginning of the year, missing expectations by the biggest margin in eight years and marking the fourth miss in five months.

The Reuters/Michigan survey of consumers in dropped to 80.4 in January, after expectations of an increase to 83.5, up from 82.5 in December.

There's not too much economic data out next week to feed investors new information, and December's employment report is still on the minds of many. And the awareness of the potential for more news on tapering at the Fed's January meeting later in the month is also fuelling caution and concerns.

But Capital Economics says it's not too worried by January's reading, as the recent polar vortex may well have played a part in the dip. They anticipate a weather-related rebound in February, with consumers more upbeat.