"Consumers reported a slowdown in expected wage gains, weakening inflation-adjusted income expectations, and growing concerns that slowing economic growth would reduce the pace of job creation," said Richard Curtin, the chief economist of the survey. "These apprehensions should ease as the economy rebounds from its dismal start in the first quarter of 2016."
Nonetheless, Jefferies analyst Ward McCarthy called the modest dip "discouraging," noting that respondents were more concerned about government's effect on business than any time since the Fiscal Cliff era.
"Despite there being no specific question about the election on the April survey, about 20 percent of respondents said that they expected that the election results would impact government policies that would result in negative economic outcomes," McCarthy wrote. "Their expectations were so negative that they far outweighed the positive expectations of the 80 percent of respondents who did not mention the election!"