Daijiworld Media Network - Washington

Washington, Apr 30: American consumer confidence saw another significant drop in April, falling by 7.9%, according to the Conference Board's latest report. The index fell to 86, with the expectations component measuring future outlook plummeting to its lowest point since October 2011, signaling deepening pessimism.

Stephanie Guichard, senior economist for global indicators at the Conference Board, noted that the decline marked the fifth consecutive month of negative sentiment, driven by worries about business conditions, employment prospects, and future income. “For the first time in five years, expectations about future income turned negative, reflecting growing concerns about personal finances,” Guichard said.

The report showed that this pessimism was widespread, especially among consumers aged 35 to 55 and those earning over $125,000 annually. Factors contributing to the decline included the economic impact of tariffs and inflation, alongside concerns over falling stock market values and higher living costs.

The report coincided with President Donald Trump’s 100th day in office, with growing dissatisfaction among Americans regarding his policies, particularly the imposition of import tariffs. A recent poll showed 53% of Americans disapprove of Trump’s job performance, including 55% expressing negative views on his handling of the economy and tariffs.

Economists also revised down their forecasts for US economic growth, citing the broader and more enduring effects of the tariffs, which are expected to reduce GDP growth by 1.5 percentage points in 2025. Meanwhile, housing prices rose by 3.9% in March, though concerns about job security and high costs are dampening buyer enthusiasm.

As the spring housing season begins, many buyers remain cautious, waiting for clearer economic signals before making significant decisions.