#USConsumerConfidence This decline was widespread across various demographics, with 47% of consumers anticipating higher unemployment—the highest level since the pandemic recession. Additionally, one-year inflation expectations rose to 3.3% from December's 2.8%, surpassing the pre-pandemic range of 2.3%-3.0%. These inflation concerns are linked to anticipated tariff policies. Despite this dip in sentiment, U.S. consumers have demonstrated resilience in the face of sustained inflation and higher borrowing costs. Retail sales during the 2024 holiday period reached $994 billion, marking a 4% increase from the previous year. This robust spending contributed to increased earnings reported by major U.S. banks for the fourth quarter.