US consumer confidence falls to seven-month low

U.S. consumer confidence fell to a seven-month low in early February, with the University of Michigan's preliminary consumer confidence index for February dropping 3.3 points to 67.8. The figure fell short of the expectations of all economists surveyed. The inflation outlook faces numerous uncertainties as President Donald Trump pushes ahead with tariff measures. If all tariffs on major U.S. trading partners come into effect and lead to higher prices, it could be a drag on consumer spending. The survey showed that the shopping sentiment indicator for big-ticket items fell 12 percentage points from the previous month. In addition, overall confidence was lower across all political affiliations. The current conditions indicator fell to a three-month low of 68.7 from 74; the expectations indicator fell to 67.3, the lowest since November 2023. The indicator reflecting the state of personal financial expectations fell to a low since October 2023 in early February. Indicators measuring economic prospects for the year ahead also declined.