Keeping you up to date on the latest data releases.
- Consumer Sentiment
The University of Michigan’s Index of Consumer Sentiment was revised up in late December by a little over 2 index points to a level of 69.9—its highest since June—and has now well above its recent low of 55.7 reached in August. The overall increase was driven in large part by the expectations component, which was revised up from 61.1 to 63.6 in December, compared to a level of just 55.4 in November. The release noted that respondents judged that prospects for the national economy had improved during the month, though the data was collected before the debate over the payroll tax cut extension grid locked. The current conditions component was also revised up during the month, from 77.9 to 79.6, compared to a level of 77.6 in November. Median inflation expectations for both the shorter-run (one-year ahead) and longer-term (five-to-ten years ahead) were unrevised in late December, at 3.1 percent and 2.7 percent, respectively.