The Conference Board notes US Consumer Confidence Fell Sharply in January

Confidence collapsed to lowest point since 2014, surpassing pandemic depths

The Conference Board Consumer Confidence Index® fell by 9.7 points in January to 84.5 (1985=100), from an upwardly revised 94.2 in December. A 5.1-point upward revision to December’s reading of the Index resulted in a slight increase last month, reversing the initially reported decline. However, January’s preliminary results showed confidence resumed declining after a one-month uptick.

The Present Situation Index—based on consumers’ assessment of current business and labor market conditions—dropped by 9.9 points to 113.7 in January. The Expectations Index—based on consumers’ short-term outlook for income, business, and labor market conditions—fell by 9.5 points to 65.1, well below the threshold of 80 that usually signals a recession ahead. The cutoff for preliminary results was January 16, 2026.

Consumer Confidence Present Situation and Expectations

“Confidence collapsed in January, as consumer concerns about both the present situation and expectations for the future deepened,” said Dana M Peterson, Chief Economist, The Conference Board. “All five components of the Index deteriorated, driving the overall Index to its lowest level since May 2014 (82.2)—surpassing its COVID-19 pandemic depths.”

The Present Situation Index fell, as net views on current business conditions dwindled to just barely positive, at +0.1%. Perceptions of employment conditions also edged lower, with the labor market differential—the share of consumers saying jobs are “plentiful” minus the share saying jobs are “hard to get”—continuing to flag. All three Expectations Index components also weakened in January. Expectations for business and labor market conditions six months from now fell further into negative territory. The outlook for household incomes became less positive.

Among demographic groups, confidence on a six-month moving average basis dipped for all age groups in January, although consumers under 35 continued to be more confident than consumers age 35 and older. Confidence among all generations trended downward in the month, but Gen Z remained the most optimistic of all generations surveyed. By income, confidence on a six-month moving average basis ticked downward for all brackets, and consumers earning less than $15K remained the least optimistic among all income groups. Consumer confidence continued to fade in January among all political affiliations, with the sharpest decline among Independents.

Peterson added: “Consumers’ write-in responses on factors affecting the economy continued to skew towards pessimism. References to prices and inflation, oil and gas prices, and food and grocery prices remained elevated. Mentions of tariffs and trade, politics, and the labor market also rose in January, and references to health/insurance and war edged higher.”

Homebuying expectations continued to retreat. Plans to purchase refrigerators, dishwashers, furniture, and TVs decreased. Plans to buy electronics dipped in all categories besides smartphones, which continued to trend upward on a six-month moving average basis. Used cars, furniture, TVs, and smartphones remained the most popular within their categories for future purchases.

The only surprise in the report is Gen Z. They are the generation most impacted by inflation and jobs.

Labor Market Notes

• 23.9% of consumers said jobs were “plentiful,” down from 27.5% in December.
• 20.8% of consumers said jobs were “hard to get,” up from 19.1%.
• Only 13.9% of consumers expected more jobs to be available six months from now, down from 17.4% in December.

Much more in the report.

Is the Plunge That Shocking?

Jimmy Kimmel said it plainly:

We watched an American executed on video and officials won’t even admit it was a mistake.

They called a mom’s SUV a “weapon.”
They called a legally carried gun a threat, even though it was never drawn.
They fired 10 shots at an ICU nurse.

So… pic.twitter.com/aXRWDVrHes

— Brian Allen (@allenanalysis) January 27, 2026

I Think We “Should” All Agree

STEPHEN COLBERT:

"I think we can all agree. FUCK ICE.”

pic.twitter.com/n0Q9WHswSS

— Spencer Hakimian (@SpencerHakimian) January 27, 2026

Vance and Miller Justify Murder

Do not forget that Stephen Miller called Alex Pretti an assassin and the Vice President amplified that spurious smear of a man murdered by our government. pic.twitter.com/POsWTaAsfR

— Sarah Longwell (@SarahLongwell25) January 27, 2026

Steve Miller, J.D. Vance and Homeland Secretary Kristi Noem are the scummiest of the scum.

Is it any wonder confidence is sinking?

#DemsUnited #DV1
Kristi Noem. Stephen Miller (I know). Pam Bondi. Megyn Kelly. Jesse Watters. Todd Blanche. Scott Bessent (I know).
Make your own list. pic.twitter.com/jWxXPRqClZ

— Lisa Ericsson Murphy 🌊🌊Deadline Was 12/19. 🇺🇦 (@lisakrstin) January 27, 2026

Given the Nazi slogans of Noem, and the Gestapo tactics of ICE, does anyone doubt that?

Is it any wonder confidence is sinking?

America Screamed Loudly

Please note America Screamed Loudly and President Trump Blinked

Trump demoted Border Patrol Commander Greg Bovino. One down. Many coming.

Today we heard echoes of those screams. The echoes are in the form of two Conference Board charts.

More By This Author: