Americans Becoming More Hopeful About
Trade Deals Boost Consumer Confidence
Recent trade agreements by the Trump administration have helped improve public confidence in the economy.
Consumer confidence rose by two points to 97.2 after dropping sharply in spring, when tariffs sparked worries about rising prices and job risks.
As Stephanie Guichard from The Conference Board said, “Consumer confidence has stabilized since May, rebounding from April’s plunge.”
Tariffs and Price Concerns
Despite fears, tariffs haven’t caused major price hikes yet. Guichard noted tariffs were “mostly associated with concerns that they would lead to higher prices.”
Prices for key items like food and gasoline have stabilized or fallen, though Lauren Goodwin of New York Life Investments warned, “Goods prices in categories sensitive to trade policy… have started to edge higher.”
Rising Tariff Revenues
Tariff revenues have surged, reaching $150 billion this year, with July’s $28 billion customs duties hitting a record high. Treasury Secretary Scott Bessent expects revenues to surpass $300 billion. However, U.S. businesses bear the cost of these import taxes.
Landmark U.S.-EU Energy Deal
A major trade deal with the European Union includes a commitment to buy $750 billion in American energy, including oil, LNG, and nuclear fuels.
