Consumer Sentiment fell in February to 76.8 according to the University of Michigan Consumer Sentiment Index. February’s figure is 24 points below the February 2020 index. The Current Economic Conditions Index declined 0.6 points from the previous month to 86.2, and the reading is 24.9 points below the February 2020 index. The Consumer Expectations Index decreased 4.5 points to 70.7 and is 23.2 points lower than a year ago.
“All of February’s loss was due to households with incomes below $75,000, with the declines mainly concentrated in future economic prospects. The worst of the pandemic may be nearing its end, but few consumers anticipate the type of persistent and robust economic growth that restores employment conditions to the very positive pre-pandemic levels. The recent revival in spending has been driven by drawdowns in precautionary savings. Interestingly, those with a college degree were more cautious about prospects for the national economy until just a few months ago.” said Richard Curtin, chief economist of UM Surveys of Consumers.
Read the University of Michigan Surveys of Consumers release.
