New York ? The outlook for the holiday shopping season darkened Tuesday as the latest consumer confidence reading showed Americans even more pessimistic about the economy during October.

Hurricanes, surging gasoline prices and worries about the job market took a further toll on consumer psyches.

The Conference Board said its Consumer Confidence Index fell to 85 in October, the lowest level since October 2003 and down from September’s revised reading of 87.5, which had been the sharpest drop in 15 years. Analysts expected an October reading of 88 for the index, which is compiled from a survey of U.S. households.

“Much of the decline in confidence over the past two months can be attributed to the recent hurricanes, pump shock and a weakening labor market,” said Lynn Franco, director of the private research group’s Consumer Research Center in a statement.

She said the “degree of pessimism, in conjunction with the anticipation of much higher home heating bills this winter, may take some cheer out of the upcoming holiday season.”

The nation’s retailers are already preparing for a difficult season. Although gasoline prices have slipped back from recent weeks, they still are quite high, and home heating costs are expected to soar this fall and winter, forcing many consumers to budget carefully for the holidays.

“The unexpected decline means optimism is under more pressure than we thought,” said Patrick Fearon, senior economist at A.G. Edwards & Sons Inc. Fearon believes all the political uncertainty also is weighing on consumers’ confidence.

He noted President Bush’s drop in approval ratings, political unrest in the Middle East and concerns about the Supreme Court nominee Harriet Miers “could weigh on people’s attitudes.”