Consumer Sentiment Surges Due to Lower Gas Prices
The University of Michigan said the index rose to 54.4, but one-year inflation expectations stayed elevated at 4.2% as fuel costs climbed.
- The University's Consumer Sentiment Index surged 10% early this month to 54.4, the highest level since February, as Americans benefited from lower gasoline prices in recent weeks.
- According to Consumers Director Joanne Hsu, sentiment gains were pervasive across demographic groups by age, income, wealth, and political party. However, sentiment remains 12% lower than a year ago despite the recent increase.
- Consumers' inflation expectations for the next year slipped to 4.2% this month from 4.6% in June, while five-year expectations held steady at 3.3%, exceeding the 51.0 forecast by economists.
- The collapse of the ceasefire with Iran last week threatens these gains, as renewed conflict in the Middle East has pushed gasoline prices to a one-month high, potentially reversing economic relief for Americans.
- While sentiment reached a five-month high, the improvement is likely temporary as geopolitical instability in the Middle East continues to drive up energy costs for consumers, threatening sustained economic relief.
29 Articles
29 Articles
(New York = Yonhap News) Correspondent Lee Ji-heon = Economic sentiment among U.S. consumers improved unexpectedly in July.
US Consumer Sentiment Rebounds to 5-Month High: University of Michigan
Easing gasoline costs bolstered U.S. consumer sentiment in July, but improving confidence may not persist as pump prices target $4 again. The University of Michigan’s widely watched Consumer Sentiment Index surged 10 percent this month to 54.4, from 49.5 in June. July’s preliminary reading marked the second straight monthly boost and represented the highest level since February. This also came in above the market estimate of 51. The indexes for …
UoM Consumer Sentiment Index is seen improving to 54.4 in July
American consumer confidence regained momentum in early July, as households grew more optimistic about current conditions and the broader economic outlook, according to preliminary data from the University of Michigan. The closely watched Consumer Sentiment Index is expected to improve to 54.4 from 49.5 in the previous month, surpassing economists’ expectations and signalling a better backdrop for public confidence. Furthermore, the Current Cond…
US consumer sentiment highest since February on brief oil price dip
US consumer sentiment saw a temporary boost from lower oil prices in July. This positive trend may reverse as Middle East hostilities have resumed. Fighting has caused oil prices to rise again, impacting consumer outlook. Gasoline prices remain significantly higher than last year, affecting the economy. Consumers express frustration with persistently high prices and economic conditions.
US Consumer Sentiment Climbs on Cheaper Gas, Tops Forecasts
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