U.S. Consumer Confidence Hits Rock Bottom Over Tariff Fears

Consumer confidence in the U.S. has plunged to its lowest level since the early days of the COVID-19 pandemic, as fears mount over the economic fallout from President Donald Trump’s sweeping tariffs, Associated Press reporter Christopher Rugaber wrote.

A key measure of consumer expectations — tracking short-term views on income, business conditions, and job prospects — plummeted 12.5 points to 54.4, the lowest in over 13 years.

The Conference Board reported Tuesday that its consumer confidence index dropped 7.9 points in April to 86 — the weakest reading since May 2020. Nearly one-third of consumers expect hiring to slow in the coming months, matching levels seen during the Great Recession in 2009.

The report highlights growing anxiety among Americans who anticipate higher prices and economic instability stemming from the tariffs.

A separate survey by the AP-NORC Center found that about half of Americans now fear a recession.

A key measure of consumer expectations — tracking short-term views on income, business conditions, and job prospects — plummeted 12.5 points to 54.4, the lowest in over 13 years.

That figure is far below 80, the threshold typically signaling an impending recession.

How this pessimism affects actual economic activity will become clearer soon. The U.S. government is expected to release first-quarter GDP data this week, and economists predict it will show a significant slowdown in growth after a robust winter shopping season.