Plummeting Confidence: Tariffs Shake Consumer Faith in Economy

Consumer confidence in the U.S. economy dips due to rising prices and tariffs implemented by President Trump. The Conference Board's index shows decreasing faith in job market and economic conditions, despite past job gains. Americans express concerns over tariffs and inflation impacts.

Consumer confidence in the U.S. economy has taken a hit, falling to 89.1 in December amid concerns over rising prices and tariffs imposed by President Donald Trump. The Conference Board reports a notable dip from November's figure, indicating growing anxiety among Americans.

While short-term expectations for income, business conditions, and the job market remain steady at 70.7, they signal potential recessionary trends as it remains below the critical 80 mark. Consumers are increasingly wary of their current economic standing, with assessments dropping significantly.

Perceived job availability also worsens, as fewer consumers find jobs "plentiful." Despite modest job gains in November, the unemployment rate climbed, highlighting a stagnant labor market. Economic uncertainty, driven by tariffs and high interest rates, keeps businesses cautious.

(With inputs from agencies.)