U S Consumer Confidence Drops to Seven Month Low as Job Concerns Rise
Consumer confidence weakened significantly in November, signaling growing concern among Americans about the state of the economy and what lies ahead in 2026. The Conference Board’s Consumer Confidence Index dropped to 88.7—its lowest reading in seven months and well below expectations. Both the Present Situation Index and the Expectations Index declined, showing that consumers are uneasy not only about today’s conditions but also about their future prospects.
One of the biggest shifts came from the job market outlook. The share of people saying jobs are “plentiful” collapsed from nearly 29% in October to just 6% in November. Meanwhile, those who said jobs are “hard to get” held steady, suggesting workers are unsure about where the labor market is heading. This aligns with other indicators, including ADP’s report showing private employers cut an average of 13,500 jobs over the past month. Economists describe the situation as a “no hiring, no firing” environment—companies aren’t expanding, but they aren’t shedding workers aggressively either.
Inflation and broader economic fears are also weighing heavily on Americans. Many survey respondents pointed to rising prices, tariffs, political uncertainty, and disruptions tied to the recent government shutdown. Inflation expectations have moved higher as well, with consumers anticipating a 4.8% price increase over the next year—more than double the Fed’s target.
Despite these concerns, there is one bright spot: expectations for the stock market remain strong, even as confidence in the overall economy slips.
This drop in sentiment lands just as the Federal Reserve debates whether to cut interest rates again in December. With inflation easing but job growth slowing, several Fed officials have hinted they support another rate reduction. But without key economic data that was delayed by the government shutdown, policymakers are operating with a more limited view than usual.
Other surveys confirm the weakening mood. The University of Michigan’s sentiment index fell nearly 5% in November and is down nearly 30% from a year ago. Together, the data paints a picture of consumers growing increasingly anxious as 2025 comes to a close, pressured by high prices, labor uncertainty, and political volatility.
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