No events that tell "morale dropped", I have always surplus morale, variaty of food ~10 at least and fuel when camping. The only other thing game tells costs morale is when sanity regenerates. But I did not have sanity challenges going on and my people constantly drop from 100 morale to like 50 or 40 and then start climbing again. I mean jumps of like 30-50?

The game got to tell when shit happens, why it does :-7

Are you talking about Thea1, or Thea2 ?

I haven't touched 1 in awhile, but until very recently got hooked on 2; one reason moral drops is due to the weather. Maybe post a picture of your HUD and Party? 30 - 50 is very excessive though. You would have to be cursed like 2x!

characters spend morale to recover sanity.