Mounting Economic Fears: Inflation, Jobs, Markets Rattle Consumers
Summary
A Federal Reserve Bank of New York survey revealed mounting economic fears among consumers, with a surge in expectations of higher unemployment, soaring inflation concerns, and diminished optimism about stock market gains, reflecting the impact of the intensifying global trade war.
Key Points
- Consumer worries grew over inflation, unemployment and the stock market as the global trade war heated up in March, according to a Federal Reserve Bank of New York survey
- The probability that the unemployment rate would be higher a year from now surged to 44%, the highest level since the early Covid pandemic days of April 2020
- The expectation that the stock market will be higher a year from now slid to 33.8%, the lowest reading since June 2022