Consumer sentiment in the U.S. fell sharply in February to its lowest level in the last 15 months. At the same time, inflation expectations significantly increased.
Experts note that such a sharp drop in consumer sentiment is associated with uncertainty in the economy, triggered by inflation and the threat of new waves of coronavirus spread. Consumers are feeling the increase in prices for goods and services, which negatively impacts their spending and consumption plans.
"We see that consumers are grappling with rising prices and expect that this will remain a problem in the near future," experts note. In this regard, people are likely to be more cautious in their spending, which may affect overall economic activity.
