BLUE PRESS JOURNAL – After a strong rally in November, U.S. consumer confidence lost steam in December, dropping to its lowest point since President Donald Trump first imposed sweeping tariffs on major trading partners. According to The Conference Board’s latest report, the consumer confidence index fell 3.8 points—sliding from a revised 92.9 in November to 89.1 last month. That reading is perilously close to the 85.7 level recorded back in April, when the administration unveiled tariffs on steel, aluminum and a host of imported goods.
What’s behind this renewed slump in confidence? Consumers’ write-in responses to the survey shed light on two persistent worries: rising prices and inflation, and the economic fallout from trade tensions. In short, Americans are feeling squeezed by day-to-day costs even as they fret over the prospect of higher import taxes driving prices further upward.
Although overall confidence dipped, the survey’s so-called “expectations” component—gauging short-term outlooks for income, business conditions and the job market—remained unchanged at 70.7. While stability may sound positive, the figure still sits well below the 80-point threshold many economists consider a yellow flag for an impending recession. In fact, this marks the 11th consecutive month that consumers’ expectations have lingered below that critical 80-point mark.
Blue Press Journal 