American consumer confidence in the economy has dropped to its lowest level since the onset of the Covid-19 pandemic. The Conference Board reported a sharp 7.9-point decline in April, bringing the index down to 86, marking the lowest reading since May 2020.
The decline is being largely attributed to growing concern over tariffs imposed by President Donald Trump’s administration, which have included a 10 per cent levy on most imports and a steep 145 per cent tariff on Chinese goods, along with duties on steel, aluminium and automobiles.
Nearly one-third of consumers now expect a slowdown in employment—levels not seen since April 2009 during the Great Recession. An Associated Press-NORC Center survey also found that around half of Americans are worried about a potential recession.
“Rattled consumers spend less than confident consumers,” said Carl Weinberg, chief economist at High Frequency Economics. “If confidence sags and consumers retrench, growth will go down.”
The index measuring short-term expectations for income, business conditions and employment dropped 12.5 points to 54.4—its lowest in over 13 years and far below the threshold of 80, which often signals a looming recession.
The largest drops in confidence were seen among Americans aged 35 to 55 and those earning more than $125,000 annually.
Also read: US job openings drop to 7.2 million in March amid tariff-driven uncertainty
Market volatility has contributed to the downturn in sentiment, with the S&P 500 down 6 per cent for the year, the Dow Jones falling 5 per cent, and the Nasdaq declining by 10 per cent in 2025 despite recent recoveries.
Spending intentions have weakened across the board. Fewer Americans are planning to purchase homes or cars, amid high mortgage rates and property prices. Overseas vacation planning has dropped from 24.1 per cent in December to 16.4 per cent in April. Restaurant spending plans also saw a historic decline.
The US government is set to release its report on first-quarter economic growth on Wednesday, with economists projecting a notable slowdown following a robust holiday spending season. Meanwhile, Friday’s Labor Department report is expected to reflect continued job growth, although some analysts anticipate a marked dip in hiring.
Consumer expectations of a downturn within the next 12 months have reached a two-year high.

Bajaj Finance Ltd for the fourth quarter ended March 31, 2025 reported 17% rise in consolidated net profit attributed to the owners of the company at ₹4,480 crore compared with ₹3,825 crore a year ago.

Net Interest Income (NII) during the quarter grew 22% Year on Year (YoY) to ₹9,807 crore, 

For FY25 the company’s consolidated net profit grew 15% to ₹16,638 crore from ₹14,451 crore in the previous year.

For the financial year the company’s NII grew 23% YoY to ₹36,393 crore.

For the quarter the company’s loan losses and provisions grew 78% YoY to ₹2,329 crore and annual loan losses and provisions were to the tune of ₹7,966 crore, up 72% YoY.   

The board of directors have declared dividend of ₹56 per share [special interim dividend of ₹12 and final dividend of ₹44 per share] for FY25. 

The board also considered and recommended sub-division of 1 (one) equity share of face value of ₹2 each fully paid-up into 2 (two) equity shares of face value of ₹1 each fully paid-up; and issue of bonus equity shares in the ratio of 4:1 i.e., 4 (Four) bonus equity shares for every 1 (one) equity share held. 

The board has recommended increasing the authorised share capital of the company from ₹150 crore to ₹1,000 crore subject to approval of shareholders.

US stocks are witnessing mixed investor sentiments on Tuesday, with the Dow Jones Industrial Average inching up by 66.28 points, or 0.16%, to 40,293.87. In contrast, the Nasdaq Composite slipped 90.44 points, or 0.52%, to 17,275.69, while the S&P 500 fell 18.94 points, or 0.34%, to 5,509.81, at 9.35 am EDT.
Wall Street wavered as rising corporate profits were offset by ongoing uncertainty surrounding President Trump’s trade war. UPS, the world’s largest package delivery firm, swaying between gains and losses after posting stronger-than-expected earnings for the first quarter of 2025. As a global shipper, UPS is often seen as a predicter for the health of the world economy.
Investor worries continue as fears grow that US President Trump’s tariffs, if not changed, could push the economy toward a recession by slowing global trade and raising prices on many products. His unpredictable handling of tariffs has added to the uncertainty, making it hard for businesses and consumers to plan for the future.
The latest change may affect the US auto industry. On Tuesday, White House press secretary Karoline Leavitt said Trump will sign an executive order to ease some of his 25% auto tariffs to support domestic carmakers.
Despite posting better-than-expected earnings, General Motors shares fell 1.9%. The automaker postponed its investor call on 2025 guidance to Thursday, citing “recent reports regarding updates to trade policy.”
On a brighter note, Royal Caribbean gained 1.1% after delivering stronger quarterly earnings and raising its full-year outlook, helped in part by expectations of lower fuel costs. Oil prices have been volatile recently due to uncertainty over global energy demand amid the trade tensions. CEO Jason Liberty summed up the cautious sentiment across sectors, saying, “As we navigate the complexities of the current macroeconomic landscape, we remain focused on what we can control.”
Markets have found some relief from recent volatility, which had been fuelled by shifting expectations over President Donald Trump’s stance on the trade war. On Monday, The Wall Street Journal reported that Trump was preparing to revise his proposed 25% tariffs on imported cars and auto parts, following widespread speculation on the matter.
The Wall Street Journal reported Monday that Trump was preparing, following widespread speculation over the issue, to adjust his 25% tariffs on imports of autos and auto parts.
World shares edged mostly higher on Tuesday, following a quiet and mixed finish for US markets at the start of a week packed with corporate earnings and economic updates. Germany’s DAX rose 0.7% to 22,421.79, while France’s CAC 40 held steady at 7,571.68. The UK’s FTSE 100 was also largely unchanged at 8,416.80. Futures for both the S&P 500 and Dow Jones Industrial Average were up 0.3%.
In Asia, Hong Kong’s Hang Seng picked up 0.2% to 22,008.11, while the Shanghai Composite index edged 0.1% lower, to 3,286.55. In South Korea, the Kospi jumped 0.7% to 2,565.42. Australia’s S&P/ASX 200 rose 0.9%, to 8,070.60.
Taiwan’s Taiex gained 1%, while the Sensex in India gained 0.3%.