Consumer Confidence Hits Near Five-Year Low in April, Job Openings Dip in March — Evening Brief – 04.29.25
US consumer confidence dropped in April to its lowest level in nearly five years, driven by heightened pessimism about the economy and job market amid tariff concerns. The Conference Board’s confidence index fell nearly eight points to 86, the weakest since May 2020, marking a fifth consecutive monthly decline—the longest streak since 2008.
“Consumer confidence declined for a fifth consecutive month in April, falling to levels not seen since the onset of the COVID pandemic,” said Stephanie Guichard, senior economist, global indicators at The Conference Board.
“The decline was largely driven by consumers’ expectations,” she said. “The three expectation components—business conditions, employment prospects, and future income—all deteriorated sharply, reflecting pervasive pessimism about the future.”
Labor market concerns intensified, with 32.1% of consumers expecting fewer jobs in the next six months, up from 28.8% in March, a level typically seen in recessions. “In addition, expectations about future income prospects turned clearly negative for the first time in five years, suggesting that concerns about the economy have now spread to consumers worrying about their own personal situations,” Guichard said.
Inflation expectations surged to 7.0% in April from 6.2% in March, the highest since November 2022, contrasting with steadier readings from the NY Federal Reserve’s measure. Tariffs emerged as a major concern, with survey mentions hitting a record high, fueling stagflation-like sentiment.
Looking ahead, only 15.7% of consumers expected better business conditions in six months, down from 17.8%, while 34.8% anticipated a worsening, up from 26.1%. Stock market sentiment also soured, with 48.5% expecting declines over the next year, the highest since October 2011.
The confidence drop was widespread, hitting all age groups and most income levels, with the steepest declines among 35- to 55-year-olds and households earning over $125,000.
Finally, we note that April’s fall in confidence was broad-based across all age groups and most income groups. The decline was sharpest among consumers between 35 and 55 years old, and consumers in households earning more than $125,000 a year.
Separately, US job openings dipped slightly to 7.19 million in March from 7.48 million, per the Job Openings and Labor Turnover Survey (JOLTS), against expectations of 7.49 million. Total separations, including quits and layoffs, held steady at 5.1 million, suggesting labor market resilience but hinting at workers’ growing caution about job prospects.