Why Americans Still Feel Poor Despite Economic Recovery

Americans are feeling more pessimistic about their finances than ever before, even though experts say the economy is doing better. Consumer confidence surveys show people haven't felt good about money since the COVID pandemic started over six years ago.

## The Price Problem

The main reason people feel poor? Everything costs way more than it used to. While inflation (the rate at which prices increase) has slowed down, the damage is already done:

• Groceries, gas, and everyday items cost much more than in 2019 • What used to be 10 years of price increases happened in just 5 years • People see their expensive cereal boxes and feel the pinch, even if prices aren't rising as fast anymore

## Too Many Shocks

Americans have faced one crisis after another:

• The COVID pandemic disrupted jobs and businesses • Wars around the world created uncertainty • Trade tariffs (taxes on imported goods) made some products more expensive • Each time people start to recover, another problem hits

## When Will It Get Better?

Experts say consumer confidence needs several months of stable, positive conditions to recover. But with ongoing global conflicts and trade tensions, that stability seems far away.

"People are starting to hear that inflation is going down, but their box of cereal is still really expensive," explains economic commentator Kyla Scanlon. This disconnect between what experts say and what people experience at the store keeps confidence low.

The bottom line: Until prices feel normal again and economic surprises stop happening, Americans will likely continue feeling financially stressed.

This is an AI-generated summary. Read the original article at: https://www.cnbc.com/2026/05/14/consumer-confidence-us-economy-inflation-iran-war-trade.html