US consumer confidence improves modestly in February after cratering the first month of 2026

MATT OTT

Wed, February 25, 2026 at 12:11 AM GMT+9 1 min read

WASHINGTON (AP) — The American consumer’s confidence in the U.S. economy improved slightly in February after cratering a month earlier.

The Conference Board said Tuesday that its consumer confidence index rose to 91.2 in February from an upwardly revised 89 last month.

A measure of Americans’ short-term expectations for their income, business conditions and the job market rose four points to 72, remaining well below 80, the marker that can signal a recession ahead. It’s the 13th consecutive month that reading has come in under 80.

The measure of consumers’ assessments of their current economic situation fell by 1.8 points to 120.

Respondents’ references to prices and inflation were little changed but remain elevated. Mentions of trade and politics increased, while references to labor market conditions eased as perceptions of the job market improved modestly this month.

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The country’s labor market has been stuck in a “low hire, low fire” state, economists say, as businesses stand pat due to uncertainty over Trump’s tariffs and the lingering effects of elevated interest rates.

Earlier this month, the government reported that employers added a surprisingly strong 130,000 nonfarm jobs in January. Still, the economy gained just 584,000 jobs in 2025, about one-fourth of the more than 2 million added in 2024.

The softening job market comes even as the U.S. economy keeps growing, often beyond projections.

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