Consumer Confidence Plummets Amid Economic Woes
Summary
Consumer confidence plummeted in February to its lowest level since mid-2024, with the Expectations Index signaling recession fears as Americans grew increasingly pessimistic about the economic outlook, citing concerns over slowing growth and surging inflation.
Key Points
- Consumer confidence dropped to 98.3 in February, the lowest reading since June 2024 and the biggest monthly decline since August 2021.
- The Expectations Index fell below the level consistent with recession for the first time since June 2024, tumbling 9.3 points to 72.9.
- Consumers grew more pessimistic about future business conditions, income prospects, and employment outlook amid worries over a slowing economy and rising inflation.