Keeping you up to date on the latest data releases.
- Consumer Sentiment
The University of Michigan’s Index of Consumer Sentiment fell 9.5 points to an index value of 66.5 in early July, the largest plunge since October 2008 and the eighth largest in the sixty year history of the surveys. Over the past six months, the index has sporadically increased and dropped, but overall has lost more ground than it has gained. Although the index has climbed up from a trough of 55.3 in November 2008, it still sits well below its values throughout most of the 1990's and the 2000's leading up to the recent recession period. According to the release, “nearly every economic assessment and expectation included in the survey recorded a steep decline.” Only 39 percent of respondents, the smallest proportion ever recorded, anticipated an increase in their income during the year ahead, and the proportion that unfavorably rated economic policies rose to 42 percent in early July. One-year-ahead average inflation expectations rose 0.3 percentage point to 3.6 percent, and longer-term (5-10 year-ahead) expectations ticked up 0.4 percentage point to 3.5 percent. Median expectations for both periods inched up to 2.9 percent.