University of Michigan Survey Reveals Record Low Consumer Sentiment Amid Inflation Fears
The University of Michigan's latest survey indicates a significant drop in consumer sentiment, reaching a record low in April. The headline index fell to 47.6, a 10.7% decrease from March, marking the lowest level on record. This decline is attributed to rising energy prices and the broader economic impact of the ongoing conflict in Iran. Inflation expectations have also surged, with respondents anticipating a 4.8% increase in prices over the next year, the highest since August 2025. The survey director, Joanne Hsu, noted that many consumers blame the Iran conflict for the unfavorable economic changes. Despite a ceasefire on April 7, most survey interviews were conducted before this development, suggesting potential improvements in economic expectations as supply disruptions ease and gas prices stabilize. 
