The RealClearMarkets/TIPP Economic Optimism Index dropped sharply to 42.8 in April 2026, its lowest reading since June 2024. This was down from 47.5 in March and below the consensus forecast of 48.1, as worries over the war in the Middle East and higher gasoline prices weighed on sentiment. The index has now remained below the neutral 50 threshold for eight consecutive months, signaling sustained pessimism.
The Six-Month Economic Outlook fell 10.5% to 38.5, underscoring mounting doubts about the economy’s near-term trajectory. The Personal Financial Outlook also softened, declining 7.6% to 50.2. At the same time, confidence in Federal Economic Policies deteriorated sharply, with that measure slipping to 39.8 from 45.1, reflecting growing skepticism about the government’s ability to navigate economic challenges in an increasingly uncertain environment.
