“The high confidence in the previous quarter was likely driven by optimism about what the new administration might accomplish, while the current reading reflects the reality of ongoing economic challenges,” Galvin said in a statement.
“This uncertainty, along with tariffs and growing concerns among consumers, is leading to a more cautious outlook for the U.S. economy.”
Concerns over tariffs
According to the report, 69% of CEOs are concerned that trade and tariff policy changes will negatively impact their business.
“The reality of the policies being suggested and implemented is seen as inflationary and disruptive to business planning,” Galvin said in an insight.
“The transition to the new administration is no longer fostering optimism about the economy or the trajectory of business. Instead, it has given way to a more polarised belief in economic instability and chaotic decision-making, as opposed to a business-friendly environment.”
