Experts warn Americans’ pessimism about business conditions has driven confidence to a level that typically indicates an impending recession
- Consumer confidence fell in the fourth month, And the business conditions on consumer business and their income have fallen to the lowest level in 12 years. The conference council says confidence has fallen below the “good threshold” usually causes a signal before. “
The Conference Council issued the item The latest survey of consumer trust Tuesday, which revealed the confidence of consumers, fell in a row.
It is noteworthy that the expectation of the conference councils based on consumer’s income, short-term business prospects, which has decreased at 65.2 “and below the 85-year threshold.”
“Consumer expectations were especially gloomy, with pessimism, deepening of future business conditions and confidence in the prospects of further employment,” said Stefan Guikard, a senior economist of the G20. “At the same time, consumer optimism about future income, which has been maintained in the past few months, has greatly disappeared about the economy and the labor market, and has begun to spread to their personal situations.
Compared to February, less consumers expect their income to increase and vice versa, more people expect their income to move forward. Their worldview of the labor market also worsened, fewer people expected that more jobs would be available and more people who expected business conditions to deteriorate.
“Comments on the current administration and its policy, both positive and negative, dominated consumers, which affects their views of the economy,” the conference said.
The big decline in the March consumer confidence was largely due to people aged 55, followed by 35 to 55.
Especially, this pessimism spread to the stock market, where the expectations first became negative since 2023 this month.
“Martin is only 37.4% to buy stocks from high levels from high levels to drop from high level to 20 percentage points from the high level purchased from November 20 to 2024. What does consumers feel like it seem to match the mood in Wall Street, where many economists expect to pursue trump card? “Exclusively growth agenda“It simply came to our notice then.
Consumers are also more worried about inflation than in February, particularly “concerned about the high prices of bases like eggs.” In February, the Trade Administration said the Americans sharply cut to spend Rewards to the impact of tariffs on the economy. The Chicago Federation President Austan steam warned it on Wednesday Inflation will be self-prophecy If businesses begin to shed the fears of consumers in their predictions.
The conference council will release its next report on the consumer’s trust on April 29.
This story was originally shown Fortune.com
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