Consumer confidence plummeted in March, ending a period of optimism that lasted for the first two months of 2013, according to The Conference Board Consumer Confidence Index.

The index plummeted from a score of 68 in February to 59.7 in March as sequester talks created more uncertainty for U.S. consumers.

The consumer expectations index, which is forward-looking, fell from 72.4 to 60.9 and only 16% of consumers categorized today’s business environment as ‘good’. Meanwhile, those who view conditions as ‘bad’ increased from 28.2% to 29.3%.

“Consumer Confidence fell sharply in March, following February’s uptick,” said Lynn Franco, director of Economic Indicators at The Conference Board.

“This month’s retreat was driven primarily by a sharp decline in expectations, although consumers were also more pessimistic in their assessment of current conditions. The loss of confidence, particularly expectations, mirrors the losses experienced this past December and January. The recent sequester has created uncertainty regarding the economic outlook and as a result, consumers are less confident.”

Americans also are less optimistic about their overall job prospects.

Only 12.3% of the thousands interviewed for the survey expect job conditions to improve in the months ahead, down from 16.1% in February.

The percentage of respondents who expect fewer jobs in the future grew from 22.1% to 26.6%.