The index fell to its lowest level, 57.9, since November 2022. The economists had on average predicted a figure of 63.
The respondents' expectations of the economy going forward fell simultaneously to a record low level.
At the same time, the respondents in the survey predicted a significantly increasing inflation. In the coming year, consumers predict an inflation of almost 5 percent.
US economist Elisabet Kopelman at the major bank SEB says that inflation expectations are now starting to approach the levels when inflation began to take off after the pandemic.
Inflation expectations are skyrocketing and it is probably linked to the uncertainty surrounding the tariffs, says Elisabet Kopelman.
She also says that the view of the economy among the respondents in the survey varies strongly depending on which party one votes for.
You can see that Republicans became extremely optimistic immediately when Trump won. They still see the situation as fairly positive and more positive than they did the last time Trump was in the White House.
But even Republicans have started to lose some confidence, says Kopelman, but they are still at fairly high levels.
On the other hand, Democrats are super pessimistic and much more pessimistic than they were during the pandemic.
