Affluent Americans Grow More Pessimistic as Iran War Fuels Financial Anxiety

University of Michigan’s March reading shows U.S. consumer sentiment fell to 55.3 as the Iran war, higher gas prices and stock-market volatility spook households, with wealthier consumers posting the sharpest declines. Short-term inflation expectations jumped to 3.8% for the next year (vs 2.4% now), while long-run expectations eased to 3.2%. Economists warn that fading optimism among the affluent could translate into weaker spending, even as markets slid and the 10-year yield rose, signaling rising financial anxiety.