A key inflation expectations study has returned its highest levels since the early 1980s.
Consumers told the University of Michigan’s consumer survey that they anticipate inflation to have jumped by 6.7 percent by this time next year.
The closely watched results leapt 5 percent from March, revealing the extent recent market chaos has had on consumer confidence.
Indeed consumer sentiment fell from 57.0 last month to 50.8, the second lowest in the survey’s history going back to 1952.
The 10.9 percent monthly change is also 34.2 percent lower than a year ago.
Consumers were also gloomy about the current economic conditions, dropping their confidence in them by 11.4 percent since March.
Fears of unemployment have also risen to their highest level since 2009, according to the survey.
Stocks lowered following the results of the report and Treasury yields added to their gains.
The price of eggs has risen more than 60 percent in the last year, the latest CPI figures show
Survey director Joanne Hsu said all ages, income and political affiliations pared back their sentiments.
‘Consumers report multiple warning signs that raise the risk of recession: expectations for business conditions, personal finances, incomes, inflation, and labor markets all continued to deteriorate this month,’ Hsu said.
‘Consumers have spiraled from anxious to petrified,’ Samuel Tombs, chief U.S. economist at Pantheon Macroeconomics, said of the findings.
The results come as markets endure another turbulent day of trading as President Donald Trump’s tariffs continue to rock the global economy.
Billionaire Larry Fink admitted he thought the US economy has already weakened, and may already be in decline.
‘I think we’re very close, if not in, a recession now,’ the BlackRock CEO told CNBC Friday.
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