Eurodollar University New Data Reveals People Have Given Up on the Economy
Aug 27, 2025
Consumer confidence has plummeted, driven by fears of job security and a struggling housing market. As housing prices continue to drop, the ripple effects on consumer behavior are becoming apparent. The analysis of current economic trends reveals troubling indicators like a bull steepening of the treasury curve and a declining copper to gold ratio. This signals a potential economic downturn that could affect global markets significantly. The discussion sheds light on the complex relationships shaping today’s economy.
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Confidence At Recessionary Levels
- Consumer confidence plunged in August to levels consistent with past recessions.
- That decline reflects real economic weakness, not just sentiment over tariffs.
Housing Bust Is Deflationary
- The housing downturn is prolonged and deflationary, worsening jobs and incomes.
- Market signals like commodity ratios warned this outcome long before headlines did.
Fed Moving Toward Lower Rates
- Even the Federal Reserve is shifting toward acknowledging growing downside risks.
- All roads are aligning toward lower interest rates as the economy weakens.