Consumer confidence fell in February, indicating the concern of the Directorate of the US economy under President Donald Trump.
A consumer confidence gauge has recorded its greatest monthly drop since August 2021, the non -partisan Conference committee said Tuesday.
Meanwhile, the share of consumers expect a recession in the following year have reached a nine -month summit, according to data. A growing part of consumers estimates that the labor market will worsen, the stock market will drop and that interest rates will increase, added the report.
Trump has published a wave of directives related to the economy since he took office last month, including pricing proposals, spending reductions and an assault against diversity, equity and inclusion initiatives.
Earlier this month, Trump announced 25% of prices on Mexico and Canada goods as well as 10% tariffs on China products.
Trump interrupted the prices on Mexico and Canada for a month after having concluded an agreement with each of the two countries on drug trafficking and border security. Trump said on Monday that he was planning to move forward with the prices when this break raises next week.
Seven out of 10 American adults believe that prices will increase prices, a Ipsos survey found last week.
The concerns about the rise in prices coincide with resident inflation which dates back to the last months of the Biden administration. Consumer prices increased by 3% in January compared to a year ago, recording a percentage point greater than the objective of the federal reserve by 2%.
President Donald Trump is listening to a meeting with French president Emmanuel Macron in the Oval Blank Office in Washington on February 24, 2025.
Ludovic Marin / AP
The prices of eggs, a closely viewed symbol of the cost increase, climbed 53% in January compared to a year ago. An avian flu has decimated the supply of eggs, increasing prices.
“Consumers who fear the impact of higher prices, discounts of expenditure and deportations are concerned and are probably more cautious,” News Bill Adams, chief economist of the Comiceri Bank in Dallas, told ABC.
Meanwhile, American hiring slowed down at the start of the year. The nation added 143,000 jobs in January, much less than the 265,000 jobs have earned a month before, government data watch.
However, some consumer feeling measures have improved this month. Consumers’ assessment of current commercial conditions has increased, while an increase in purchase plans for a house has extended a month’s resumption.
The new data follows a report last month from the Michigan University showing that his consumer feeling gauge had decreased for the first time in six months.
However, the results have shown a strong disparity between Democrats and Republicans. Attitudes among the Democrats have worsened while the feeling of the Republicans has improved.
