Inflation remains stuck around 3%, and layoffs at major firms like Amazon and UPS have pushed yearly job cuts above one million
Consumers’ confidence weakened further in November, according to the University of Michigan’s monthly survey, as persistent inflation and an extended government shutdown dampened moods.
The headline sentiment index dropped to 50.3 from 53.6 in October below analysts’ expectations of 53 marking one of the lowest readings in the survey’s history.
Economic pressures deepen
Survey director Joanne Hsu said Americans are increasingly worried about the shutdown’s economic fallout.
Inflation remains stuck around 3%, and layoffs at major firms like Amazon and UPS have pushed yearly job cuts above one million, frustrating job seekers despite a still-low unemployment rate.
Stocks fell sharply Friday, with the S&P 500 down over 1%, the Dow dropping 400 points, and the Nasdaq losing 2%—its worst week since April.
Lower-income-impact
Economists noted the steepest decline in confidence among lower-income households, though wealthier Americans also grew less optimistic.