Economic confidence drops to levels last seen in January

Consumer confidence in the United States has dropped to its lowest level since the beginning of the year, according to a new survey. 

Gallup’s latest Economic Confidence Index, published Wednesday, had a rated score of negative 21, down from negative 12 in August and negative 6 in July.

By comparison, the index hit negative 33 in April 2020, just weeks after the coronavirus pandemic reached American soil, and negative 21 two months later.

The index uses a mathematical formula to represent “Americans’ net optimism about the economy, combining their views about current economic conditions and perceptions of the direction of the economy,” the company explained in Wednesday’s survey results. 

The latest index results reveal that just 25 percent of Americans surveyed say they feel economic conditions in the country are “excellent” or “good.” 

Gallup cited rising inflation and a weakened jobs report released in August as possible factors contributing to lowering consumer confidence. 

The Economic Confidence Index survey was conducted Sept. 1-17 among 1,005 adults. It has a margin of error of 4 percentage points.