U.S. consumer sentiment dives to a record low in April amid Iran war

U.S. consumer sentiment plunged to a record low in early April, while consumers also expected a sharp rise in inflation over the next 12 months. The combination signals deteriorating household confidence and firmer inflation expectations, which could pressure consumer spending and complicate the policy outlook. The data is likely to have broad market relevance as a high-frequency read on growth and inflation.

Analysis

U.S. consumer sentiment plunged to a record low in early April, while consumers also expected a sharp rise in inflation over the next 12 months. The combination signals deteriorating household confidence and firmer inflation expectations, which could pressure consumer spending and complicate the policy outlook. The data is likely to have broad market relevance as a high-frequency read on growth and inflation.