Back to today’s briefing

Story perspectives

Consumer Sentiment Plummets 32% Amid Trade War Anxiety

4/26/2025

48 9

Left

Trump's Trade War Impact

US consumer sentiment plummeted by 32% in April, the steepest drop since 1990, as President Trump's trade war takes its toll. The index fell to 52.2, while inflation expectations surged to 6.5%. Conflicting signals on tariffs have left consumers anxious, stoking fears of a recession and a slowdown in spending.

Center

States Challenge Tariffs

Twelve U.S. states, including Illinois and Arizona, have united in a bold legal challenge against the Trump administration's controversial tariff policy. They argue that these tariffs, driven by personal whims rather than lawful authority, threaten economic stability. The states are determined to halt the enforcement of these damaging tariffs and protect their economies.

History

Historical Context

The steep decline in US consumer sentiment mirrors the 1930 Smoot-Hawley Tariff Act's impact, which intensified the Great Depression. Both events showcase how aggressive trade policies can create economic uncertainty, leading to consumer anxiety and reduced spending, ultimately threatening national economic stability.

1 of 3

Trump's Trade War Impact

US consumer sentiment plummeted by 32% in April, the steepest drop since 1990, as President Trump's trade war takes its toll. The index fell to 52.2, while inflation expectations surged to 6.5%. Conflicting signals on tariffs have left consumers anxious, stoking fears of a recession and a slowdown in spending.

1 / 3