Sharp Decline in US Consumer Confidence
Yesterday’s Conference Board measure of US consumer confidence added to a growing list of economic and corporate earnings reports indicating lower activity levels in the United States.
Consumer morale suffered its biggest decline since August 2021, with some respondents citing concerns over trade and tariffs as reasons for the drop in confidence this February. This marks a notable shift in sentiment, which could have wider implications for spending and economic growth in the months ahead.
Currency Markets React to Economic Data
The euro briefly reached a recent resistance level before pulling back overnight. Against sterling, the currency remained more range-bound, trading at the upper end of its recent levels.
Meanwhile, German consumer confidence came in weaker than expected, while early reports show that French consumer sentiment was slightly stronger in February.
Sparse Economic Calendar Keeps Markets Steady
Beyond the US consumer confidence report, yesterday’s economic calendar was relatively quiet, and today follows a similar pattern. With little major data on the horizon, markets may remain steady, but ongoing concerns about economic slowdown could continue to weigh on sentiment.
How This Affects Your Business
With consumer confidence falling and market volatility persisting, businesses should stay informed about currency movements and macroeconomic shifts. To learn how to capitalise on market fluctuations, reach out to one of our Qumoney experts today.