US Consumer Confidence Hits 12-Year Low

Consumer confidence in the U.S. has declined for the fourth consecutive month, reaching a 12-year low amid concerns over tariffs, inflation, and potential recession. The Conference Board's consumer confidence index fell to 92.9, lower than expected, as anxiety about future business conditions and income prospects deepened. Despite a stable labor market, the economic uncertainty fueled by President Trump's tariff policies has caused pessimism among consumers, particularly those over 55 and middle-income households. Analysts observe a disconnect between consumer confidence and actual spending, but the sentiment reflects broader economic concerns. Treasury Secretary Bessent and Federal Reserve officials highlight potential challenges, with a looming 'detox period' as the economy adjusts to less government support. However, some optimism remains if inflation eases and tariffs prove less severe than anticipated.