The RCM/TIPP Economic Optimism Index fell to 47.5 in March from 48.8 in February (-1.3 pts MoM, -2.7%), remaining below the 50 neutral threshold for a seventh straight month and signaling continued consumer pessimism relative to historical norms.

• March’s 47.5 reading is -3.3% below the 302-month historical average of 49.1, indicating that overall economic optimism continues to run modestly below its long-term trend.

• The Six-Month Economic Outlook declined -1.8% MoM from 43.8 to 43.0, reflecting weaker expectations for economic conditions over the next half year and remaining firmly in pessimistic territory.

• The Personal Financial Outlook dropped -4.6% MoM from 56.9 to 54.3, marking the largest component decline and signaling softer sentiment regarding household finances despite staying above the 50 neutral mark.

• Confidence in Federal Economic Policies slipped -1.3% MoM from 45.7 to 45.1, showing a modest deterioration in views on government policy effectiveness while remaining below neutral.

• Investor optimism edged down -0.3% to 59.6, while non-investor confidence fell sharply -6.4% to 41.0, widening the investor versus non-investor confidence gap from 16.0 to 18.6 points and highlighting a growing divergence in outlook.

• The Financial-Related Stress Index increased +0.8 pts MoM (+1.3%) from 61.6 to 62.4, standing +3.2% above its long-run average of 60.5 and indicating elevated financial strain relative to historical norms.

• Six of 21 demographic groups were in optimistic territory in March, down from eight in February, and only seven groups improved on the overall index compared to 18 in the prior month, showing a broader-based softening in sentiment across groups.