Consumer confidence falls; Comcast theme park bookings positive before openings; Jobless claims rise

The latest tracking in a closely watched national survey by the University of Michigan showed further deterioration in consumer confidence, stemming from trade tariffs and expectations for higher inflation.

Consumer sentiment posted at 52.2 for April, based on revised figures calculated from respondents’ views on numerous metrics gauging household finances and the larger economy. That marked the fourth straight month of decline, registering nearly five points below the March figure and dropping 25 points from April 2024. Index numbers generally reflect the percentage of respondents viewing overall conditions favorably.

“Expectations have fallen a precipitous 32% since January, the steepest three-month percentage decline seen since the 1990 recession,” Joanne Hsu, the university’s consumer surveys director, said in a statement. “While this month’s deterioration was particularly strong for middle-income families, expectations worsened for vast swaths of the population across age, education, income and political affiliation.”

Hsu noted year-ahead inflation expectations surged from an average 5% in March to 6.5% in the April survey, the highest reading since 1981 and marking four consecutive months of unusually large increases of 0.5 percentage points or higher. The latest government data showed annual inflation at 2.4% as of March, though analysts are expecting that figure to run higher as recently imposed and pending U.S. tariffs on imported products from multiple countries take full effect. 

Comcast reports bookings are holding steady at its theme parks, including a new $7 billion venue slated to open next month in Florida, a positive sign for U.S. operators watching for effects of tariff-related concerns over those properties as well as nearby hotels and retail centers.

Executives of the media giant told analysts that recent declines in international air travel to the U.S., sparked in part by tensions over newly imposed tariffs on goods from multiple countries, are so far not upsetting prospects for Comcast’s Epic Universe, scheduled to debut May 22 as the fourth park at the company’s Universal Orlando Resort.

Florida park results, including ticket sales and hotel bookings, were “stable” in the first quarter, Comcast President Michael Cavanagh said during the Philadelphia-based company’s latest earnings call, noting its domestic parks “draw a lot of folks from the U.S. and a lot of folks from markets in the South.”

Cavanagh told analysts that “in the case of Florida, they’re not necessarily hopping on planes to get there, so there may be a delayed effect in terms of what the airlines are starting to report on and what we see." He said Universal parks in China and Japan are also holding steady for attendance and revenue, though its Universal Studios Hollywood in Los Angeles has seen customers “staying away” to an unexpected degree after January’s massive Southern California wildfires.

After a decade of significant new development at its parks, executives said Comcast for now is plowing ahead with previously announced plans for Universal Horror Unleashed, a new year-round venue set to open this August in Las Vegas; and Universal Kids Resort, slated for a 2026 opening in Frisco, Texas, near Dallas. Comcast plans to start construction in 2026 on a new Universal theme park and resort in Bedford, England, its first venue serving Europe. 

The latest Labor Department data showed initial U.S. claims for unemployment insurance totaled 222,000 for the week ended April 19, up 6,000 from the prior week. The figure remained within a weekly range posted during the past year — between 200,000 and 250,000 — as analysts watched for the effects of employment trends on upcoming Federal Reserve interest rate decisions. The next rate-setting meeting is slated for May 6-7.

“The jobless claims data for now are consistent with a labor market that is stable enough to allow the Federal Reserve to keep policy on hold while it monitors the path of inflation as tariffs kick in,” Nancy Vanden Houten, lead U.S. economist at forecasting firm Oxford Economics, said in a statement

“Claims for benefits by federal employees are starting to tick up again,” Vanden Houten said. “We expect these claims to rise in the months ahead as layoffs of federal workers reaccelerate.”