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Americans' Economic Sentiment Hits Record Low at 47.6 in April

Americans feel worse about the economy than ever before, with the University of Michigan Consumer Sentiment Index falling to 47.6 in April. This marks an 11% drop from last month and the lowest reading since tracking began in 1966.

April 10, 20263 sources2 min read
Americans' Economic Sentiment Hits Record Low at 47.6 in April

Americans are more pessimistic about the economy than at any point in nearly 60 years of tracking. The University of Michigan Consumer Sentiment Index dropped to 47.6 in April, falling 11% in just one month.

This number is worse than what Americans felt during the 2008 Great Recession. The index measures how people feel about current economic conditions and what they expect in the future.

Gas prices are a major reason for the gloomy mood. When people pay more to fill up their cars, it affects how they view the entire economy. Higher fuel costs also make everything else more expensive since trucks need gas to deliver goods.

The previous record low was set in June 2022, showing that economic anxiety has been building for years. Consumer sentiment directly affects spending habits - when people feel uncertain about money, they buy less stuff.

Why this matters

When people feel bad about the economy, they spend less money on everything from cars to clothes. This can slow down economic growth and affect job markets. Rising gas prices are hitting your wallet and making everyone more worried about money.

What to watch

Watch for May's sentiment numbers and whether gas prices continue rising.

Sources
consumer-sentimentgas-pricesinflationeconomic-outlook
This story was written with AI based on reporting from the sources above. For the complete story, visit the original sources.

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