I still believe in the USA but it doesn't look good.
Economy • Apr 12 18:12 • Modified on Apr 12 18:12 US consumer in depression: confidence nears all-time low Author : BNR Web Editors The American consumer is in a deep depression. Research from the University of Michigan shows that consumer confidence in the United States has reached the second lowest level ever. In addition, Americans fear skyrocketing inflation due to the trade war that President Donald Trump has unleashed.
Consumers are also concerned about the outlook for the labor market. Consumers are also grumbling about the outlook for the labor market. ( ANP / REX by Shutterstock ) The index measuring U.S. consumer sentiment fell to 50.8 points in April, down 6.2 points from the previous month. The index hit an all-time low in June 2022, when confidence was rated at 50 points. That was the lowest level since the survey began in the 1970s.
The consumer surveys were conducted between March 25 and April 8, around the time Trump announced the tariffs but before he paused them on Wednesday. The tariffs imposed on China are still in effect, at 145 percent.
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"Consumers have spiraled from fearful to petrified," said Sam Tombs of Pantheon Macroeconomics in a statement. "People are likely to be even more pessimistic now, as the survey was conducted between March 25 and April 8. Some of the responses were therefore likely received before the tariff announcement on April 2 and the subsequent plunge in stock prices," he noted.
Unemployment Consumers are also fretting about the outlook for the labor market. Not since the financial crisis in 2009 have so many people expected unemployment to rise. Many respondents also expect to lose their own jobs in the next five years. That share has risen to its highest level since the summer of 2020. Americans’ income expectations also showed a negative mood.
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"Unemployment expectations have deteriorated sharply in recent months, which may not lead to a drop in spending if consumers do not expect to be personally affected by layoffs or income losses," Joanne Hsu, the survey's director, said in a statement. "However, it is alarming that consumers are now worried that they will be personally affected."
