NOVEMBER 10, 2025 – – CONSUMER CONFIDENCE FALLS
Due to the ongoing government shutdown, economic data collection and releases have been interrupted. The market has turned to the consumer confidence data released by the University of Michigan to gauge the state of the economy.
Worries over the government shutdown have driven consumer confidence to a three-year low. The index dropped to 52.3, 11 percent down from the comparative number in September. Future expectations fell 2.6 percent to 49.0. On a year-over-year basis, the measures are down 18.2 percent and 36.3 percent, respectively. Consumers believe the shutdown will have a negative effect on the economy. Finances are tightening for the people who have been laid off, food bank recipients and many others, leading to a somber mood.
The survey also reports inflation expectations. The one-year outlook is up slightly to 4.7 percent, while five-year inflation fell by 0.3 percent to 3.6 percent. The Fed will not meet until December, and it is hoped, by that time, data will be available, allowing them to make an informed decision on monetary policy.