U.S. consumer sentiment weakened again in early October, with households reporting deeper strain from still-high inflation. Preliminary data released Friday by the University of Michigan showed the headline consumer sentiment index falling to 46.3, its lowest level since May. The current economic conditions gauge dropped sharply from 50.9 in September to 44.7, the lowest reading on record. At the same time, the expectations index edged up from 46.3 to 47.3, marking its first increase since July. The survey also showed inflation expectations moving higher. Consumers now expect prices to rise 4.7% over the next year, up from 4.6% in September, while long-run inflation expectations for the next five to 10 years rose to 3.5% annually, slightly above the prior month. Joanne Hsu, director of the University of Michigan’s Surveys of Consumers, said in a statement that confidence fell notably this month among lower-income consumers and among those with smaller stock portfolios.
U.S. consumer sentiment declined again in early October, and consumers’ assessment of current economic conditions fell to the lowest level on record as persistently high inflation continued to pressure household finances.
Preliminary survey data released Friday by the University of Michigan showed the consumer sentiment index falling to 46.3 in October, the lowest reading since May. The current economic conditions index dropped sharply from 50.9 in September to 44.7, setting a record low. The expectations index, however, rose from 46.3 to 47.3, its first increase since July.
The survey said consumer sentiment kept deteriorating as gasoline prices stayed elevated, borrowing costs increased, and hiring activity slowed. Consumers expect prices to rise 4.7% over the next year, up from 4.6% in September. Long-term inflation expectations for the next five to 10 years rose to an annual rate of 3.5%, slightly above the September level.
In a statement, Joanne Hsu, director of the University of Michigan’s Surveys of Consumers, said confidence fell noticeably this month among lower-income consumers and among consumers with smaller stock portfolios.
This article was originally published by Bit.Fan. For more cryptocurrency news and market insights, visit www.bit.fan. Disclaimer:
The market information, project data, and third-party content displayed on this platform are for industry information sharing only and do not constitute any form of investment advice or return commitment.
Cryptocurrency trading carries high risks. Users should fully assess their risk tolerance and make independent decisions. All profits, losses, and legal responsibilities are borne by the users themselves.
