Quick Review | Consumer Confidence Index Plummets, Inflation Expectations Rise, US Economic Outlook Clouded

GateUser-bd883c58 · 2026-04-09T08:36:37+00:00

In March, the U.S. Consumer Confidence Index dropped sharply by 6%, reaching its lowest level since 2025, while inflation expectations rose significantly. Institutions like Goldman Sachs warn that the Middle East conflict could exacerbate the risk of a U.S. recession, and experts provide their interpretations.

GateUser-bd883c58

2026-04-09 08:36:37

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Ask AI · Could the Middle East conflict further intensify the risk of a U.S. economic downturn?

Data released on March 27 by the University of Michigan show that the U.S. consumer confidence index in March plunged by 6%, the lowest level since December 2025. The survey also shows that Americans’ inflation expectations for the coming year rose from 3.4% in February to 3.8% in March, the largest single-month increase since April 2025.

Recently, multiple institutions including Goldman Sachs and Ernst & Young have raised their assessment of the likelihood of a U.S. economic recession, believing that the continued Middle East conflict will further exacerbate their downside economic risks.

With the consumer confidence index falling and inflation expectations rising, what do these indicators reflect about what is wrong with the U.S. economy? What does the outlook look like?

The Global News of China Central Television program “Flash Commentary” invited Wang Jinbin, a professor at the School of Economics, Renmin University of China for analysis.

Source | Global News of China Central Television

Reporter | Houqi | Shan

Reviewed by | Yang Zhuoying

Supervised by | Liu Yiyao

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