Dr. Joanne Hsu: American Consumer Sentiment Has Never Been Lower

Dr. Joanne Hsu, director and chief economist of the University of Michigan Surveys of Consumers, joins Darrell to examine why Americans remain dissatisfied with the economy despite resilient consumer spending. She discusses how persistent high prices are eroding purchasing power, why wealthy households experience the economy differently, and how gasoline prices, tariffs, interest rates, and housing affordability shape consumer sentiment. Hsu also explains what it would take for confidence to recover and why the survey matters to the Federal Reserve and investors.

Check out Dr. Hsu's work:

https://www.sca.isr.umich.edu/

https://public.websites.umich.edu/~jwhsu/

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0:00 Why consumer sentiment matters

1:02 What the University of Michigan survey measures

3:25 Who uses the survey data?

4:24 What consumer sentiment reveals about recession risks

5:57 Why economic recovery takes time to reach households

7:37 Americans are struggling with high prices

8:41 What would restore consumer confidence?

9:51 The growing divide between wealthy and lower-income households

11:39 How asset ownership shapes economic experiences

12:50 Why spending remains strong despite weak sentiment

14:06 How gasoline prices affect inflation expectations

16:10 What the survey reveals about tariffs

17:48 Consumer expectations following the Fed’s rate hike

19:47 Why housing affordability remains under pressure

21:51 Why Dr. Hsu studies household financial well-being

23:21 Where to find the latest consumer sentiment data

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