The University of Michigan’s closely watched consumer sentiment index has crashed to 47.6 this month — the lowest reading ever recorded since the survey began in 1952. The data, released on April 11, 2026, underscores how deeply the combination of inflation, war and economic uncertainty has hit US households.
What the Numbers Say
The 47.6 reading is below every previous low in the survey’s seven-decade history, including the lows recorded during the 2008 financial crisis, the 1980 oil shock and the early Covid-19 pandemic. Americans cited soaring fuel prices, high inflation and war fears linked to the Middle East crisis as the dominant reasons for their gloom.
Personal Finances Hit Hardest
Assessments of personal finances declined by about 11 percent month-on-month, with consumers expressing substantial increases in concerns over high prices and weaker asset values. The index’s expectations component — which tracks outlook over the next six months — recorded the steepest drop, suggesting Americans are bracing for worse conditions ahead.
Consequences for the Economy
Economists warn that sentiment at these levels typically precedes sharp pullbacks in discretionary spending, which could tip the US economy into a technical recession in the second half of 2026. Retailers, airlines and the housing market are expected to feel the squeeze first. The Federal Reserve now faces a brutal choice: hold rates steady to fight inflation, or cut aggressively to prop up consumption.
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