U.S. Economic Confidence Hits Two-Year Low: 61% Pessimistic About Outlook, Majority Disapprove of Trump's Economic Policies

Odaily Planet Daily News A recent poll released by CNBC shows that pessimism among Americans about the economic outlook continues to intensify. 61% of respondents said they are pessimistic about the current economic conditions and future trends, the highest level since December 2023, with only about a quarter of respondents expressing optimism. The survey indicates that a majority of respondents attribute economic pressures to President Trump's economic policies. Regarding Trump's handling of economic issues, 60% of respondents expressed dissatisfaction, while only 38% approved, marking one of the lowest ratings for this metric in his political career.

Micah Roberts, a partner at Public Opinion Strategies, stated that the overall mood among voters is currently depressed, with those expecting the situation to worsen outnumbering those who believe it will improve by a margin of 41% to 29%. Market confidence is entering a trough before the midterm election cycle.

Meanwhile, the rising cost of living is forcing U.S. consumers to cut back on spending. The survey shows that 47% of respondents said they are reducing purchases of necessities such as food and medical care, up 6 percentage points from April; about two-thirds of consumers are reducing non-essential spending like dining out.

Another study conducted by Bain & Company in collaboration with NielsenIQ shows that U.S. grocery purchases in June fell by 1.8% year-over-year, a significant weakening compared to the 0.1% growth seen in the same period last year.

Kurt Grichel, head of Bain's U.S. retail business, said a routine shopping trip that cost about $300 in 2019 might now require $400. The "sticker shock" from price increases is affecting a wider range of consumers, including higher-income groups.

Analysis points out that factors such as high food prices, high fuel costs, and cuts to certain social welfare programs by the Trump administration are jointly increasing pressure on consumers. The survey shows that four out of five U.S. consumers are trying to reduce spending, with more than a quarter actively cutting back on food consumption. Of these, over half are choosing cheaper brands, and 49% are buying fewer items. (ibtimes)