Fox Valley residents show concerns over the local economy over the next year
Consumers in the Fox Valley weighed in on the local economic outlook recently, with nearly three-quarters expecting local economic conditions to worsen in the year ahead.
The Appleton Post-Crescent surveyed readers to capture the consumer sentiment in the Fox Valley in mid-April. Forty-seven respondents completed the questionnaire, responding on local economic conditions to personal finances between April 17 and April 30, amid far-reaching trade policy changes with national implications.
Their responses show a deep concern about rising prices of goods and services, a tight job market, and restrained household spending. Some respondents said local issues, like egg prices, the housing market, and layoffs, and federal economic policies, especially tariffs, are shaping their recent financial outlook.
This fits national trends of a prevailing economic uncertainty across the country, as shown by the recent data from the University of Michigan's Consumer Sentiment Index, which collects data monthly on consumers' views about their personal finances, business conditions, and purchasing decisions across the country.
The index of consumer sentiment dropped to 50.8 out of 100, down from 52.2 in April, in a preliminary reading for May. It marks the second-lowest level on the record since June 2022.
"Tariffs were spontaneously mentioned by nearly three-quarters of consumers, up from almost 60% in April; uncertainty over trade policy continues to dominate consumers' thinking about the economy," said Joanne Hsu, director of the Surveys of Consumers, in the release.
Despite this gloom, most respondents in the Fox Valley say they are prepared for a financial emergency, demonstrating resilience in the region.
Here is a breakdown of what the Fox Valley respondents said:
Most respondents rate the current local economy as 'good' (51%) or 'fair' (27.7%), while only 4.3% say the economic outlook is 'excellent' and 17% call it 'poor.'
However, 72.3% of respondents expect the local economy to deteriorate over the next year, and only 23.4% expect improvement. It shows strong pessimism about the near future, even among those who view the current situation positively.
The majority of respondents say there are 'plentiful' or 'adequate' job opportunities in the Fox Valley, but over a quarter (27.7%) see them as 'limited' and 6.4% as 'very few'.
Respondents feel the labor market will be in decline. Only 19.2% expect more job opportunities in the next six months, and an equal share of 19.2% see the 'same level', while 62% expect fewer opportunities.
Only 12.8% of respondents say it's a good time for a major purchase, including a home, car, or appliances, while a majority of 61.7% say 'no,' and a quarter are unsure.
Just over 46% of respondents plan to decrease spending in the next six months and 27.7% will keep the spending at the same level, with another 27.7% saying they are expecting an increase.
The majority of respondents fear inflation: 78.7% expect prices to increase, with 53.2% saying 'significantly' and 25.5% saying 'moderately.' By contrast, 14.9% see prices falling.
Meanwhile, 59.6% of respondents are 'very concerned' about inflation and believe it impacts their purchasing decisions, while 8.5% are 'not at all' concerned.
Just over 6% of respondents say their ability to save has improved over the past year, while 38.3% responded it has declined over the same time, and 55.3% say it's unchanged.
Despite challenges, 70.2% say they could handle an unexpected $1,000 expense, while 19.1% say they could not, and 10.6% are unsure.
Zhen Wang is a business reporter for The Post-Crescent. Reach her with story tips and feedback at zwang@gannett.com or 920-993-7117.
This article originally appeared on Appleton Post-Crescent: Fox Valley survey shows economic concerns amid financial resilience
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