Consumer confidence falls sharply amid economic worries

Consumer confidence dropped sharply on Monday as Americans reacted to stock market declines and rising tariffs.

The index, from Morning Consult, dropped to 90.6—five points lower than last week. A score above 100 means people feel positive, so this drop shows rising concern.

Small-business confidence also saw its biggest drop since 2020, according to new data from the National Federation of Independent Business.

Morning Consult’s index measures people’s feelings about current economic conditions and future expectations. Republican confidence remains high, but Democratic sentiment is near pandemic-era lows.

Despite the drop, the stock market showed signs of recovery Tuesday, giving investors hope.