US Consumer Confidence Posts Biggest Drop in 3-1/2 Years
U.S. consumer confidence plummeted to its sharpest pace in 3-1/2 years in February, with a sharp decline in inflation expectations and comments dominating the survey, signaling growing anxiety among Americans about the economic impact of President Trump's policies. The Conference Board survey noted that unprecedented layoffs of federal government workers were also taking a toll on consumers' psyche, posing a risk to spending, the main engine of the economy. Economists warned that the situation could lead to a halt in economic growth as consumers stay home.
- This downturn in consumer confidence could be a harbinger for a broader economic slowdown, with far-reaching implications for businesses and policymakers.
- Will the federal government's mass firings of workers and the escalating trade tensions under Trump's administration ultimately lead to a sharp economic contraction?