US Consumer Confidence Plunges to the Lowest Level Since 2014

Views of the present situation and future expectations both declined dramatically.

Consumer Confidence Down Again

In what should be no surprise, US Consumer Confidence Fell in September

The Conference Board Consumer Confidence Index® fell by 6.7 points to 81.9 (1985=100) in September, down from 88.6 in August. The Present Situation Index—based on consumers’ assessment of current business and labor market conditions—retreated by 7.9 points to 109.3. The Expectations Index—based on consumers’ short-term outlook for income, business, and labor market conditions—fell by 5.9 points to 63.6, its third consecutive monthly decline. The survey period for this month’s preliminary results was September 1-23, which included a federal funds rate hike and ongoing geopolitical tensions.

“The Consumer Confidence Index deteriorated notably in September, following two prior months of softening,” said Dana M Peterson, Chief Economist, The Conference Board. “The Present Situation Index fell sharply, while the Expectations Index slipped further into negative territory. Consumer appraisals of current business conditions became negative for the first time since September 2024. Perceptions of the current labor market also worsened, though remained within positive territory. Over the next six months, consumers expected both business conditions and the labor market to weaken. Consumers still anticipated their household incomes to rise, but less so compared to previous months.”

Consumer Confidence Present Situation and Expectations

Write-In Responses

“Consumers’ write-in responses regarding factors affecting the economy were mostly pessimistic in September. References to prices, the high cost of goods and services, and oil and gas prices in particular, rose to new heights, reflecting September’s surge in fuel costs. Comments about war/conflict eased this month but remained elevated. Consumers also frequently cited politics, trade, and employment in their write-in responses, though to a lesser extent.” 

The Present Situation Index worsened in September. Net views of current business conditions—the share saying conditions are “good” versus “bad”—declined by 3.4 percentage points to –1.9%. The fall was largely driven by more consumers reporting that business conditions are “bad.” Perceptions of current employment conditions also softened, with the labor market differential—the share of consumers saying jobs are “plentiful” minus the share saying jobs are “hard to get”—retreating by 2.5 ppts to just +1.7%.

Consumer Confidence Current Financial Situation

For the first time since 2022 the number of people saying their financial situation is bad outnumbered those saying it was good.

Consumer Confidence by Generation

Given the stock market strength and where wealth is concentrated the relative decline of baby boomers, generation X, and Zoomers this year is a bit of a surprise.

In 2026, confidence of the silent generation is down from over 100 to under 80, the steepest decline of any generation.

There is much more in the report. Inquiring minds may wish a deeper look.

Consumer Sentiment Just Above Record Lows

The Conference Board Consumer Confidence report is not to be confused with the University of Michigan Consumer Sentiment report.

However, both measure the same things.

On September 25, 2026, I noted Consumer Sentiment Drops in September to Just Above Record Lows

Republican attitudes decline the most, but from higher levels.

Partisan Sentiment Changes

• After particularly large declines in sentiment this month, Republican sentiment is now 20% lower than January 2026.
• Democrats are down 13% over the same period.

The partisan sentiment in the University of Michigan survey seems to align with the generation plunge in the Conference Board summary.

Are zoomers and millennials excited by voting Republicans out of office while the silent generation worries about what the zoomers will do?