Keeping you up to date on the latest data releases.
- Consumer Sentiment
The University of Michigan’s Index of Consumer Sentiment rose to an index level of 79.3, up from May’s preliminary reading of 77.8. Although May marks the highest index level since October 2007, the index still trails its 88.9 average during the previous expansion (November 2001–December 2007). The 1.5 gain in the index was largely driven by households with incomes over $75,000 (up 5.5 points) who expect to see larger increases in their incomes in the year ahead. Lower income households were less optimistic, posting modest gains of 0.8. The expectations component increased from 71.7 to 74.3, also contributing to May’s improvement. The current conditions component retreated slightly from 87.3 to 87.2 after jumping 4.4 index points from April to May. Median short-run (one-year ahead) inflation expectations were adjusted down from 3.1 percent to 3.0 while the longer-term (five-to-years ahead) inflation expectations dropped from 3.0 to 2.7 percent, returning to levels seen during the fourth quarter of 2011.