Politico, March 31, 2020: Coronavirus Hits the Economy Where It Hurts: Consumer Confidence
The coronavirus pandemic is finally starting to take a toll on one of the economy’s most important strengths under President Donald Trump: consumer confidence.
A closely watched survey of consumer sentiment published monthly showed Tuesday that Americans across the board are getting more worried about the state of the economy and how their own personal finances will fare. The index published by The Conference Board dropped to 120 in March from 132.6 in February — its lowest level since June 2017. (The index is compared to a 1985 benchmark, set at 100).
The index reflects more than just how much consumers are spending but also is an early indicator of broader trends in the economy, Greene said.
“The consumer confidence survey isn’t just about shopportunities (though I’d highlight those still exist — Peleton bikes are on back order),” she said. “It more reflects a state of being — how people feel about jobs, business conditions, their future income, current assessment of the economy, assessment 6 months ahead, and buying plans.”
