American Invest Hub
  • Politics
  • Investing
  • Business
  • Latest News

American Invest Hub

  • Politics
  • Investing
  • Business
  • Latest News
Latest News

US consumer sentiment drops to 7-month low as inflation worries rise

by admin February 8, 2025
February 8, 2025
US consumer sentiment drops to 7-month low as inflation worries rise

US consumer confidence weakened in early February, hitting a seven-month low as concerns over inflation and tariffs grew.

The University of Michigan’s preliminary sentiment index fell to 67.8, down 3.3 points from the previous month, missing all economist forecasts surveyed by Bloomberg.

Rising inflation expectations weigh on consumers

Short-term inflation expectations surged, with consumers now anticipating prices to rise 4.3% over the next year, a full percentage point higher than January.

Longer-term expectations also edged up, with Americans predicting a 3.3% annual increase over the next five to ten years.

The uncertainty stems from President Donald Trump’s tariff policies, which could push prices higher and dampen consumer spending.

The survey also showed a sharp 12-point decline in buying conditions for expensive items, such as appliances and vehicles, as price concerns mount.

Consumer sentiment weakened across all political affiliations.

Republican confidence dropped for the first time since August, while Democratic sentiment fell to its lowest level since 2020.

Independents also reported declining optimism.

“Republicans appear to be moderating their post-election confidence boost, while Democrats remain concerned about Trump’s economic policies,” said Joanne Hsu, director of the survey.

Job market shows signs of slowing

Adding to concerns, separate data released on Friday indicated that hiring slowed in January, with government revisions revealing that last year’s job market wasn’t as strong as initially reported.

Unemployed Americans are also taking longer to find jobs, further dampening sentiment.

The current conditions index dropped to 68.7, a three-month low, while the expectations index slid to 67.3, its weakest level since November 2023.

Additionally, expectations for personal financial situations fell to their lowest since October 2023, reflecting growing economic unease.

The post US consumer sentiment drops to 7-month low as inflation worries rise appeared first on Invezz

0
FacebookTwitterGoogle +Pinterest
previous post
French prosecutors investigate Elon Musk’s X over alleged algorithm manipulation
next post
Trump to reverse Biden’s plastic straw ban, reigniting environmental debate

Related Posts

Crypto industry waiting with bated breath as US...

January 26, 2025

Indian shrimp exporters hit hard as US alters...

April 14, 2025

Wellness influencers fueled pandemic misinformation. Now they’re targeting...

February 5, 2024

Coalition government deal in Pakistan leaves Imran Khan’s...

February 14, 2024

Goldman Sachs and Amundi back UK bonds ahead...

October 17, 2024

World’s largest hunger crisis looms in Sudan, UN...

March 7, 2024

Spain’s Socialists hail ‘new era’ in Catalonia as...

May 14, 2024

Haiti’s transitional government names new council president, proposes interim prime...

May 2, 2024

With Bitcoin breaching the $100,000 mark, what else...

December 7, 2024

Tornado kills at least 5, injures 33, in...

April 29, 2024

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Latest News

    • FBI raid on John Bolton’s home in Washington linked to classified documents

      August 25, 2025
    • Argentine senate deals blow to Milei’s austerity agenda with university budget boost

      August 25, 2025
    • Jackson Hole Symposium: what Powell said about economic effects of Trump’s tariffs

      August 25, 2025
    • At Jackson Hole, Fed Chair Powell signals possible cuts while warning of uncertainty

      August 25, 2025
    • Trump threatens to fire Fed Governor Lisa Cook amid mortgage fraud allegations

      August 25, 2025

    Categories

    • Business (3,763)
    • Investing (2,783)
    • Latest News (2,048)
    • Politics (1,530)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: americaninvesthub.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 americaninvesthub.com | All Rights Reserved