Economy
US Consumer Confidence Fell Sharply in January: What the Latest Conference Board Data Signals
In January 2026, U.S. consumer confidence plummeted to its lowest level since 2014, as the Consumer Confidence Index fell by 9.7 points to 84.5. Concerns about inflation, employment, and economic stability led to decreased optimism across all demographics and a cautious approach to major purchases, signaling potential recession ahead.
US consumers started 2026 on a noticeably more cautious note. New data from The Conference Board shows its Consumer Confidence Index® fell sharply in January, wiping out a brief December rebound and pushing overall sentiment to its weakest level in more than a decade.
Confidence drops to the lowest level since 2014
The Conference Board Consumer Confidence Index® fell 9.7 points in January to 84.5 (1985=100), down from an upwardly revised 94.2 in December. The organization noted that December’s figure was revised up by 5.1 points, meaning what initially looked like a decline last month was actually a small uptick—before January’s slide reasserted the broader downward trend.
The cutoff for the preliminary January results was January 16, 2026.
Both “right now” and “what’s next” got worse
The decline wasn’t isolated to one part of the survey. Both consumers’ views of current conditions and their expectations for the months ahead weakened.
- Present Situation Index: down 9.9 points to 113.7
- Expectations Index: down 9.5 points to 65.1
That Expectations reading matters because it’s well below 80, a level The Conference Board says “usually signals a recession ahead.”
Dana M. Peterson, Chief Economist at The Conference Board, summed it up bluntly: confidence “collapsed” in January, with all five components deteriorating. The overall Index hit its lowest level since May 2014.
What consumers are worried about (and what’s showing up in write-ins)
The Conference Board said consumers’ write-in responses continued to skew pessimistic. The biggest themes weren’t hard to guess:
- Prices and inflation
- Oil and gas prices
- Food and grocery prices
Mentions of tariffs and trade, politics, and the labor market also rose in January. References to health/insuranceand war edged higher.
In other words: consumers aren’t just feeling uneasy—they’re pointing to specific pressure points that affect day-to-day costs and long-term stability.
Labor market perceptions softened
Consumers’ views of employment conditions weakened, with fewer respondents saying jobs are plentiful and more saying jobs are hard to get.
- 23.9% said jobs were “plentiful,” down from 27.5% in December
- 20.8% said jobs were “hard to get,” up from 19.1%
That shift matters because consumer confidence often follows the labor market. When people feel less secure about job availability, they tend to pull back on big purchases and discretionary spending.
Expectations for business conditions and jobs turned more negative
Looking six months out, pessimism increased:
- 15.6% expected business conditions to improve (down from 18.7%)
- 22.9% expected business conditions to worsen (up from 21.3%)
On jobs:
- 13.9% expected more jobs to be available (down from 17.4%)
- 28.5% anticipated fewer jobs (up from 26.0%)
Income expectations cooled too:
- 15.7% expected incomes to increase (down from 18.8%)
- 12.6% expected incomes to decline (down slightly from 13.0%)
So while fewer people expected their income to fall, the bigger story is that optimism about income growth faded.
Who’s feeling it most: age, income, and politics
On a six-month moving average basis, confidence dipped across:
- All age groups (though under 35 remained more confident than older consumers)
- All generations (with Gen Z still the most optimistic)
- All income brackets (with those earning under $15K the least optimistic)
- All political affiliations (with the sharpest decline among Independents)
This broad-based decline suggests the shift isn’t confined to one demographic pocket—it’s spreading.
Big-ticket buying plans: more “maybe,” less “yes”
The survey also pointed to increased caution around major purchases.
Consumers saying “yes” to buying big-ticket items declined in January, while “maybe” responses rose and “no” edged higher.
- Auto buying plans were flat overall, though expectations for new cars continued to falter and plans to buy used cars climbed.
- Homebuying expectations continued to retreat.
- Plans to purchase appliances, furniture, and TVs decreased.
- Electronics purchase intentions dipped in most categories—except smartphones, which continued trending upward on a six-month moving average basis.
Services spending softened—but restaurants and travel stayed interesting
Planned spending on services over the next six months weakened in January, with fewer consumers saying “yes” and more shifting into “maybe.”
Still, a few categories stood out:
- Restaurants, bars, and take-out remained the top planned services spending category and continued to rise.
- Consumers also intended to spend more on hotels/motels for personal travel, airfare/trains, and motor vehicle services.
The Conference Board noted this was surprising given the plunge in vacation plans—especially for domestic travel—also recorded in the survey.
What to watch next
January’s report paints a clear picture: consumers are feeling squeezed by costs, less confident about the labor market, and more hesitant about major purchases. The Expectations Index dropping deeper below the “recession signal” threshold will likely keep economists, businesses, and policymakers watching the next few releases closely.
The Conference Board publishes the Consumer Confidence Index® at 10 a.m. ET on the last Tuesday of every month.
Source: The Conference Board, January 2026 Consumer Confidence Survey® (PRNewswire release, Jan. 27, 2026).
News
Money Management: The Importance of Financial Literacy
You may have mastered the core subjects like math and grammar in school, but financial literacy – or understanding the basics of money management in order to help you make better financial decisions – often goes overlooked before adulthood. It’s not so much a course of study as it is a plan of action. When you understand how to earn, save, spend and invest wisely, you aren’t just building a stable future for yourself, but your family and community as well.
(Feature Impact) You may have mastered the core subjects like math and grammar in school, but financial literacy – or understanding the basics of money management in order to help you make better financial decisions – often goes overlooked before adulthood. It’s not so much a course of study as it is a plan of action.
Financial literacy in the United States has remained stagnant at generally low levels for several years, according to research from TIAA Institute and the Global Financial Literacy Excellence Center, with even lower levels among Gen Z. Yet greater financial literacy – including key aspects such as goal-setting, budgeting, saving, credit management and investing – is strongly linked to better financial outcomes, including lower rates of debt constraint and financial fragility.
While emboldening yourself to understand financial terms can be a little overwhelming at first, once you have a grasp of basic concepts you can begin to get a handle on your money and make better financial decisions. Simply put: When you understand how to earn, save, spend and invest wisely, you aren’t just building a stable future for yourself, but your family and community as well.
From nonprofit partnerships to volunteer-led programs and fee online resources, Schwab and its employees help millions of people every year build the knowledge and confidence to take charge of their financial futures by serving as board members, mentors, role models and educators.
Because financial health is a lifelong journey, the earlier people learn vital money skills, the better. That’s why the financial advisory services provider develops education programs geared toward kids that continue into adulthood, helping people no matter where they are on their journeys.
Talk Money
It’s never too early to start a conversation about financial literacy. Having teens identify goals that are important to them – such as concert tickets or a first car – can kickstart coversations about money. Working with your child (and a financial advisor, if necessary) on a plan for saving to realize those goals can serve as a jumping off point. After achieving some success, their enthusiasm may grow, which is a powerful motivator to keep saving.
Support School Initiatives and Programs
Outreach programs that empower young people to make smart financial decisions is key to a bright future. Programs like Money Matters – Schwab’s flagship financial education program utilized by the Boys & Girls Clubs of America – gives young people hands-on experience with all aspects of money and investing.
This example, and others, don’t just include program funding – they build partnerships that create impact and opportunity with national collaborations that reach more than 17 million youth annually, empowering young people with the tools and confidence to make smart financial decisions for life.
Spread the Financial Love
Championing financial literacy empowers everyone – individuals, families and communities. By serving as a board member, mentor, role model or educator to help bring financial literacy to others in your community, you can supply the tools and knowledge to lead programs that focus on giving back, empowering future generations in countless ways.
To learn more about financial literacy and find resources to empower your local community, visit SchwabMoneywise.com.
Photo courtesy of Shutterstock
SOURCE:
Our Lifestyle section on STM Daily News is a hub of inspiration and practical information, offering a range of articles that touch on various aspects of daily life. From tips on family finances to guides for maintaining health and wellness, we strive to empower our readers with knowledge and resources to enhance their lifestyles. Whether you’re seeking outdoor activity ideas, fashion trends, or travel recommendations, our lifestyle section has got you covered. Visit us today at https://stmdailynews.com/category/lifestyle/ and embark on a journey of discovery and self-improvement.
SUVs and EVs Take Center Stage at the 2026 New York International Auto Show
(Feature Impact) The 2026 New York International Auto Show is shining a spotlight on the latest in automotive innovation, from advanced technology to the growing shift toward electric vehicles. One automaker, Kia, is using the show to highlight two versatile SUVs designed to offer more space, capability and flexibility for modern drivers.
Watch this video to learn more
The all-new 2027 Kia Seltos has grown in size, offering a roomier interior with additional legroom, headroom and cargo space. It also adds a hybrid powertrain, making it the only vehicle in its class with three powertrain options. The SUV comes packed with advanced safety features, a more capable all-wheel-drive system and premium interior touches, including dual 12.3-inch display screens and an available panoramic sunroof.
The automaker is also showcasing the all-electric EV3, a compact SUV designed to make electric vehicle ownership more practical. With an estimated range of up to 320 miles, fast-charging capability and optional all-wheel drive, it balances performance, technology and everyday usability. Its intuitive features and flexible design make transitioning to electric simpler for a wider range of drivers.
Both models represent Kia’s commitment to providing options that blend capability, innovation and style. To learn more, visit Kia.com.
SOURCE:
Welcome to the Consumer Corner section of STM Daily News, your ultimate destination for savvy shopping and informed decision-making! Dive into a treasure trove of insights and reviews covering everything from the hottest toys that spark joy in your little ones to the latest electronic gadgets that simplify your life. Explore our comprehensive guides on stylish home furnishings, discover smart tips for buying a home or enhancing your living space with creative improvement ideas, and get the lowdown on the best cars through our detailed auto reviews. Whether you’re making a major purchase or simply seeking inspiration, the Consumer Corner is here to empower you every step of the way—unlock the keys to becoming a smarter consumer today!
Economy
Feeding the Economy Report Says U.S. Food, Agriculture Add $10.4 Trillion
The 2026 Feeding the Economy report says U.S. food and agriculture industries generate $10.4 trillion in economic value and support 48.7 million jobs.
New Feeding the Economy Report Highlights Food, Agriculture Industry Strength
America’s food and agriculture industries generated more than $10.4 trillion in economic value in 2026, accounting for nearly 20% of the U.S. economy, according to the 10th annual Feeding the Economy report released by 35 food and agriculture groups. The new farm-to-fork study also found the sector supports 48.7 million jobs nationwide, including 24.3 million direct jobs across farming, food manufacturing, processing, distribution, retail, and foodservice.
The report points to continued resilience despite inflation, trade uncertainty, and ongoing pressure on farmers and producers. It found food and agriculture generate more than $3 trillion in wages and $1.35 trillion in tax revenue, while U.S. exports totaled $177.3 billion. At the same time, the study flagged softer areas to watch, including flat direct employment in production agriculture and food manufacturing, along with a year-over-year decline in exports. For the food and beverage industry, the report reinforces just how deeply agriculture remains tied to jobs, supply chains, and broader economic stability.
Source:
Tenth Annual “Feeding the Economy” Report Demonstrates Strength and Resilience of the American Food and Agriculture Industries Amid Ongoing Economic Pressures — Feeding the Economy via PR Newswire
Further information:
Feeding the Economy
View the original press release on PR Newswire
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