American consumers are increasingly uneasy about the economy, as reflected in multiple sentiment surveys. The Conference Board’s Consumer Confidence Index fell sharply in February, marking its third consecutive decline amid rising inflation expectations. 

Small businesses and homebuilders are also voicing concerns, with uncertainty reaching record levels among independent business owners. The Federal Reserve is closely monitoring inflation expectations, as shifts in consumer sentiment could influence spending behavior and long-term price stability. 

While consumer confidence doesn’t always predict spending, a new Wells Fargo survey suggests many Americans, particularly younger generations, plan to cut back due to economic uncertainty. 

Finsum: Rising costs for essentials like dining out, fuel, and entertainment are prompting noticeable changes in financial habits and part of weakening sentiment.