OTTAWA – A new report says fears of a trade dispute with the United States have pushed consumer confidence in Canada to its lowest level in over a year.
The Conference Board of Canada says that its Index of Consumer Confidence, a broad measure of how Canadians are feeling about the economy, took its biggest hit in a year and a half in February.
A growing number of Canadians say that their personal finances are worsening ahead of a possible trade war.
Despite signs of stabilizing inflation and lower interest rates, researchers at the Conference Board point to fears that U.S. tariffs could harm Canada’s economy as a reason some Canadians may hold back on major purchases.
Pessimism about future job opportunities also rose to its worst level in more than four years, according to the index.
The Conference Board warns that broad U.S. tariffs would test the Canadian economy, potentially leading to both a recession and rising inflation.
This report by The Canadian Press was first published Feb. 25, 2025.
