In March, the U.S. consumer confidence, based on the report of The Conference Board, fell 7.2 points to 92.9, marking the fourth consecutive monthly decline. The Expectations Index, however, saw a deeper drop as the measure decreased 9.6 points to 65.2, the lowest in 12 years.
The survey was conducted around the time the stock market became volatile and people became worried over U.S. President Donald Trump’s tariff plans on imported goods. Other surveys also show that people are losing confidence.
Stephanie Guichard, senior economist at The Conference Board, stated that consumers no longer feel optimistic about future income. The economy and labor market have made them concerned about their financial situations.
Meanwhile, as the drop of confidence was found across income groups, it was primarily influenced by a decrease among individuals aged 55 and older.
Regarding sentiment in the stock market, only 37.4% of respondents expect higher equity prices in the next year, marking the first time the people have a pessimistic view since late 2023.
On the labor market, only 16.7% anticipate there will be more available jobs, lower than the level seen in February of 18.8%. In contrast, the level of people that expect fewer jobs now surged from 26.6% to 28.5%.
