November consumer confidence hits lowest level since April

Consumer confidence It fell more than expected in November and reached the lowest level since this spring, according to the latest data from the Conference Board.

The Conference Board reported that its consumer confidence index fell to 88.7 in November from an upwardly revised reading of 95.5 in October.

That was well below the reading of 93.4 that economists polled by LSEG had expected for November, and reached the lowest level since April.

“Consumer written responses regarding factors affecting the economy continued to be led by references to prices, inflation, tariffs, trade and politics, with increasing references to… Federal government shutdownsaid Dana Peterson, chief economist at the Conference Board.

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“Mentions of the labor market have subsided somewhat, but they still stand out among all the other recurring topics that weren’t already mentioned,” Peterson said. “The overall tone of write-ups in November was a little more negative than in October.”

Consumer confidence declined by approx All income levelswhere consumers earning less than $15,000 were the only income segment to see an improvement in confidence even as they remained the least optimistic income group.

Cross confidence has also declined Political groupsWith the largest decline among independent voters. Among age groups, consumer confidence improved among those under 35, but declined for those above that threshold, with respondents aged 55 and over remaining the most pessimistic.

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The Conference Board’s forecast index was below the 10-month recession index. (Joe Rydell)

The report showed that consumers Inflation expectations Over the next year it remained high in November, with the average rising to 4.8%.

For 10 straight months, the Conference Board’s outlook index has remained below 80, the threshold below which the measure falls. Indicates stagnation in the future.

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Consumers were pessimistic about inflation and prices. (Victor J. Blue/Bloomberg via Getty Images)

All three components of the expectations index deteriorated in November, with a marked increase in pessimism about business conditions six months from now.

The Current Situation Index also declined as consumers were pessimistic about current business and labor market conditions.

“Consumer confidence was much lower than expected in November, as Americans reported lockdowns, prices and inflation Trade and tariffs “The political situation factors into the decline. This result is in line with our weaker outlook for consumer demand during the fourth quarter of the year,” said Eugenio Aleman, chief economist at Raymond James.

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“Despite the decline in official jobs data, weak supplementary measures like this one will pressure the Fed to cut rates in December and continue cutting in 2026,” said Jeffrey Roach, chief economist at LPL Financial.