The U.S. economy is facing a storm of uncertainty, with financial anxieties gripping Americans across every income bracket.

A recent Yahoo Finance/Ipsos poll reveals that Americans are divided on the economic impact of Trump’s actions, with 45% believing his policies have had a negative effect and 31% seeing them as beneficial.

Among high-income earners — those making over $100,000 annually — 55% express concerns about the economic consequences of Trump’s decisions.

This reflects a significant shift in sentiment among a demographic that has traditionally been more optimistic about Republican-driven economic policies.

President Trump’s administration has implemented measures aimed at reshaping the economy, including significant tax cuts, deregulation and tariffs designed to bolster domestic manufacturing.

While these policies align with his “America First” agenda, they have sparked debate about their long-term effects.

Your Rundown for Wednesday, March 19, 2025...

High Earners on High Alert

Exhibit A?

The Wall Street Journal reports that consumer confidence is declining across all income levels, including among high earners.

Spending on luxury goods, for instance, has dropped almost 10% year-over-year.

And major airlines like Delta and JetBlue have revised their financial outlooks downward due to reduced travel demand.

These trends suggest even affluent Americans are tightening their belts.

And the erosion of confidence extends beyond spending habits…

A YouGov study highlights that many high-income Americans feel financially insecure despite their earnings.

About 30% of those making over $100,000 say they are just managing to get by, while 12% struggle to meet their financial obligations.

Furthermore, one in five high earners is not confident in their ability to afford retirement.

These findings underscore a growing sense of vulnerability among a group typically seen as economically stable.

However, President Trump’s administration argues that short-term challenges will pave the way for a new “Golden Age” of American prosperity, marked by increased manufacturing jobs and reduced government spending.

For instance, while tariffs are intended to protect American industries, they will raise costs for consumers and businesses.

Looking ahead, the declining confidence among high earners could have significant implications for the broader economy.

If high-income households continue to cut back on discretionary spending, it could lead to slower economic growth across multiple sectors. Potential outcomes include:

1. A prolonged decline in luxury markets and high-end services

2. Reduced investment in housing and other big-ticket items

3. Increased savings rates among affluent Americans could dampen stock market growth

4. A ripple effect on middle- and lower-income households as businesses adjust to weaker demand.

On the other hand, President Trump and his team remain optimistic about his economic vision, the current trends suggest that even his strongest supporters are questioning the immediate benefits of his policies.

Although Trump’s economic strategy is often described as a high-stakes gamble, his administration frames current challenges as a necessary “detox period” for the economy.

But if confidence continues to wane, it could signal broader challenges for the U.S. economy in achieving sustained growth and stability during Trump’s second term.

Market Rundown for Wednesday, March 19, 2025

S&P 500 futures are up 0.15% to 5,675.

Oil is down 0.25% to $66.75 for a barrel of WTI.

Gold’s up 0.10% to $3,045.10 per ounce.

And Bitcoin is up 2% to $83,740.