Consumer Confidence Dips, Inflation Expectations Jump to Highest Since 1981

Consumer sentiment sank in April as inflation fears hit a 44-year high and recession signals spread across key indicators.

People shop at a grocery store in New York City, on March 12, 2025. Samira Bouaou/The Epoch Times

Optimism among U.S. consumers declined further in April, according to the latest University of Michigan sentiment survey, which showed inflation fears rising to their highest level in more than four decades.

The University of Michigan’s preliminary April reading on consumer sentiment came in at 50.8—missing expectations and marking a steep decline from 57.0 in March. The drop put sentiment around 30 percent below December 2024 levels, bringing the index to its weakest point since June 2022 and the second lowest in more than 70 years of tracking.