latest news in economy
Recession Signals Flash as Consumer Confidence Sinks to 12-Year Low
New York, Tuesday, 27 January 2026.
In a concerning start to 2026, US consumer confidence has cratered to 84.5, marking its lowest point since May 2014 and surpassing even the sentiment lows of the COVID-19 pandemic. This sharp 9.7-point decline in January highlights a growing rift between resilient GDP figures and the financial reality felt by households. Crucially, the Expectations Index—a forward-looking gauge of income and business conditions—plummeted to 65.1. This metric has now remained below the critical 80-point threshold for a full year, a pattern that historically signals an impending recession. Despite a stable 4.4% unemployment rate, consumer perception of the labor market has soured significantly, with the net assessment of job availability hitting its weakest level since 2016. Driven by persistent inflation, tariff anxieties, and political uncertainty, this data suggests the American consumer is entrenching against a perceived economic contraction.
Federal Austerity and AI Disruption Threaten Connecticut’s Economic Stability
Hartford, Monday, 26 January 2026.
State Comptroller Sean Scanlon warns that looming federal spending cuts and an “AI bubble” reminiscent of the dot-com era pose severe risks to Connecticut’s economy in 2026. Experts fear the state’s reliance on defense manufacturing and the insurance sector makes it uniquely vulnerable to this dual shock of austerity and white-collar automation.
Gold Breaches $5,000 Threshold as Global Instability Fuels Safe-Haven Demand
New York, Monday, 26 January 2026.
Spot gold shattered the $5,000 ceiling today amid rising geopolitical risks involving Greenland and Iran. This historic shift coincides with silver breaching the $100 mark for the first time.
U.S. Manufacturing Investment Outperforms Forecasts in November
Washington, Tuesday, 27 January 2026.
November’s unexpected surge in business equipment orders marks five straight months of growth, signaling manufacturing resilience that could buffer the economy against the impact of recent severe winter storms.
