The consumer’s confidence collapsed in February, which indicates concern for the direction of the US economy under President Donald Trump.
A consumer’s confidence indicator registered its greatest monthly fall since August 2021, the non -partisan Conference Board He said Tuesday.
Meanwhile, the proportion of consumers waiting for a recession within next year increased to a maximum of nine months, according to the data. A growing part of consumers believes that the labor market will make it worse, the stock market will decrease and interest rates will increase, the report added.
Trump has issued a large number of directives related to the economy since he assumed the position last month, including tariff proposals, expenses of expenses and an assault on initiatives for diversity, equity and inclusion.
Earlier this month, Trump announced 25% tariffs on goods in Mexico and Canada, as well as 10% of Chinese products.
Trump stopped tariffs in Mexico and Canada for a month after reaching an agreement with each of the two countries on drug trafficking and border security. On Monday, Trump said he plans to advance with tariffs when that pause rises next week.
Seven out of 10 American adults believe that tariffs will increase prices, a Ipsos Survey found last week.
Concern for the increase in prices coincides with an attack of resurgual inflation that dates back to the last months of the Biden administration. Consumer prices increased by 3% in January compared to a year ago, registering a higher percentage point than the 2% Federal Reserve objective.
President Donald Trump listens during a meeting with the president of France, Emmanuel Macron, at the Oval Office of the White House in Washington, on February 24, 2025.
Ludovic Marin/AP
The prices of the egg, a symbol of the growing costs of closely observed, fired 53% in January compared to a year ago. An avian flu has decimated egg supply, raising the highest prices.
“Consumers who fear the impact of the highest rates, expenses and deportations are worrying and are probably more cautious,” News Bill Adams, chief economist of Comerica Bank in Dallas, told ABC.
Meanwhile, hiring us decreased speed at the beginning of the year. The Nation added 143,000 jobs in January, much less than the 265,000 jobs obtained a month earlier, government data presented.
Even so, some measures of the consumer’s feeling improved this month. The evaluation of consumers of current commercial conditions increased, while an increase in the increase in purchase plans for a house extended a month of recovery.
Fresh data follow a report last month from the Michigan University Showing that his feeling of consumption feeling had decreased for the first time in six months.
However, the results showed a strong disparity between Democrats and Republicans. Attitudes between the Democrats worsened while the feeling among the Republicans improved.
