Consumer Confidence Falls as Inflation Worries Grow
The Conference Board reported on Sept. 30, 2025 that U.S. consumer confidence slipped 3.6 points to 94.2 in September as more respondents cited prices and inflation as their top concern. The decline—driven by weaker short‑term expectations (73.4) and supported by recent Labor Department data showing CPI rose 2.9% year‑over‑year in August and August payrolls grew by only 22,000—signals rising household pessimism that can damp spending and influence economic policy.
Economy
Finance
🔍 Key Facts
- Consumer Confidence Index: fell to 94.2 in September, down 3.6 points from August's 97.8.
- Short-term expectations subindex dropped to 73.4, remaining below the 80 threshold often associated with recession risk.
- Labor/price context: August nonfarm payrolls +22,000; CPI +2.9% YoY (core +3.1%); JOLTS job openings ~7.2 million; unemployment 4.3%.
📍 Contextual Background
- Prices for living room, kitchen and dining room furniture in the U.S. rose 9.5% from August 2024 to August 2025, according to CPI data.
- U.S. prices for furniture and bedding rose 4.7% from August 2024 to August 2025, and prices for household furnishings and supplies rose 2.8% over the same period, according to CPI data.
- The U.S. administration announced tariffs of 50% on imported kitchen cabinets, bathroom vanities and associated products, and 30% on imported upholstered furniture, to take effect on 2025-10-01.
- Lower-cost furniture sold in the United States is commonly imported from countries in South and Southeast Asia, including Sri Lanka, Vietnam, Malaysia and India.