Shopper sentiment from the College of Michigan survey dropped to 59.4 in March 2022, down 5.4% month-to-month and 30% year-to-year.

http://www.sca.isr.umich.edu/

Shopper sentiment has dipped under 60 thrice earlier than: 1980, 2008-2009, and 2011. These historic occasions have been a recession from the Volcker fee hikes, one other recession after the Nice Monetary Disaster, and fears shortly afterwards when the credit standing of the US federal authorities was downgraded by Moody’s.

From the College of Michigan: “When requested to clarify adjustments of their funds in their very own phrases, extra customers talked about decreased dwelling requirements attributable to rising inflation than another time besides through the two worst recessions prior to now fifty years: from March 1979 to April 1981, and from Could to October 2008. Furthermore, 32% of all customers anticipated their total monetary place to worsen within the 12 months forward, the best recorded degree for the reason that surveys began within the mid-Forties. The mixture of rising costs and fewer optimistic revenue expectations meant that half of all households anticipated declines in inflation-adjusted incomes within the 12 months forward.”