Inflation is picking up again and President Donald Trump said this week it’s all his predecessor’s fault. But no matter who Trump blames for inflation, America’s economic mood is now souring — and Trump is getting the heat for it.
The University of Michigan’s latest consumer survey, released Friday, showed that American consumer sentiment declined in February for the second consecutive month, according to a final reading, down by a steep 10% from January, double the decline from a preliminary estimate earlier this month.
It’s a stunning about-face after American consumers and businesses grew hopeful (briefly) about the economy’s future following Trump’s election in November. The latest decline in consumer sentiment was driven by worries over Trump’s tariffs potentially jacking up prices.
A new CNN poll released Thursday similarly showed pessimism on the rise because of prices: Nearly two thirds of US adults nationwide, 62%, said they feel Trump’s isn’t doing enough to address inflation. The Michigan survey showed that Americans of all political stripes, including Republicans, are now fearful of higher inflation on the horizon.
On the campaign trail, Trump promised to “bring down prices, starting on Day One.” Clearly, that didn’t happen. In January, consumer prices climbed at the fastest monthly pace since August 2023, increasing 0.5% from December.
Joanne Hsu, the Michigan survey’s director, said in a release that the decline was “in large part due to fears that tariff-induced price increases are imminent.”
This story is developing and will be updated.
