Confidence among American consumers fell sharply in February, hitting a 29-month low, while long-run inflation expectations recorded their biggest monthly jump in 32 years, according to the latest University of Michigan consumer sentiment survey.
The data suggest that U.S. households are bracing for some uncertainty—possibly turbulence—which the Trump administration insists will be a short-lived “detox” period as tariffs and other policies take effect, and as government spending shifts to the private sector.
The University of Michigan’s closely watched consumer confidence survey, released on March 14, showed sentiment plunging 11 percent last month to a preliminary reading of 57.9, down from 64.7 in January and the lowest level since November 2022. The index has now dropped 22 percent since December, when post-election enthusiasm over President Donald Trump’s pro-business policies sent confidence soaring....
