Significant Drop in Consumer Sentiment

The University of Michigan's final monthly report for April reveals a concerning decline in US consumer confidence, with the sentiment index dropping to 52.2. This represents an 8.4% decrease from March 2025 and a staggering 32.4% fall compared to April 2024.

Current Economic Conditions and Expectations Worsen

Further detailing the economic downturn, the Current Economic Conditions Index fell by 6.3% from the previous month and 24.3% year-over-year, landing at 59.8 points. Meanwhile, the Index of Consumer Expectations saw a more dramatic decline, losing 10.1% monthly and 37.8% annually, to settle at 47.3.

Expert Insights on the Decline

"Consumer sentiment fell for the fourth consecutive month, with an 8% plunge from March. The April figures show a modest decline in current conditions but a significant drop in expectations, reflecting worries over personal finances and business conditions," explained Joanne Hsu, Director of Surveys of Consumers, in the report.