Faced with rising gas prices and anemic wage growth, California consumers turned bearish during the second quarter, according to a survey released Monday.

Chapman University’s statewide consumer sentiment index dropped nine points in the second quarter to 79.5 from 88.7 in the first quarter and 95.6 in the second quarter of 2005. A reading below 100 indicates a higher percentage of consumers are pessimistic about current and future economic conditions than are optimistic.

The reading of 79.5 is a far cry from the peak in the third quarter of 2004 of 110.6 and is the lowest since the first quarter of 2003, when fears surrounding the invasion of Iraq dominated the headlines.

Indeed, the survey showed a sharp drop in California consumers’ future expectations. While the index measuring California consumers’ attitude towards current economic conditions fell seven points to 82.5 from 89.3, the index measuring future conditions plunged to 70 from 86.6, reaching the lowest level in at least two years.

But while consumers were much more bearish about the economy’s future performance, there was virtually no change in personal spending plans from the first quarter. That suggests spending over the next six months will match what occurred during the first quarter.

Chapman’s findings closely match the nationwide University of Michigan’s consumer confidence index, which registered 79.1 in May, down from 87.4 in April.