US consumer sentiment near all-time low as inflation bites

US consumer sentiment dropped in September to approach an all-time low, survey data from the University of Michigan released on Friday showed, as high prices batter American households ahead of midterm elections.

The university’s consumer sentiment index came in at 47.8 this month, down 7.5% from the month before.

“With a resurgence in fuel prices and trade tensions, consumers anticipate greater pressures on their pocketbooks to come,” said survey director Joanne Hsu.

Expectations for year-ahead personal finances and business conditions both plunged, she said.

The index hit an all-time low of 44.8 in May, with energy prices skyrocketing due to US President Donald Trump’s Iran war and his tariff policies upending global trade, among other factors.