Keeping you up to date on the latest data releases.
- Consumer Sentiment
The University of Michigan’s Index of Consumer sentiment ticked down in October, falling 1.9 points to an index level of 57.5 after rising to 59.4 in September. In the past three months, the average level of the index has reached the lowest level since 1980. Contributing the decline was an all-time record number of consumers citing income declines and a record setting proportion of consumers expecting no increase in their incomes during the year ahead. The expectations component of the index fell by 2.4 points to 47.0, erasing September’s 2.0 point gain and falling below its June 2008 level. The current conditions component fell as well to 73.8 after rising to 74.9 in September. 71 percent of consumers reported that economic conditions had worsened and 80 percent expected the economy to stay the same or worsen in the year to come. Shorter-term median inflation expectations (one-year ahead) edged down to 0.1 percentage points to 3.2 percent in October. Longer term inflation expectations (five-years ahead) decreased as well by 0.2 percentage points to 2.7 percent.