Consumer Sentiment was 85.5 in June according to the University of Michigan Consumer Sentiment Index. June’s figure was 2.6 points higher than the May reading and is 7.4 points above the June 2020 index. The Current Economic Conditions Index fell 0.8 points from the previous month to 88.6 but is 1.5 points above the June 2020 index. The Consumer Expectations Index increased 4.7 points to 83.5 and is 11.2 points higher from a year ago.
“Although consumer sentiment slipped in late June, it still remained 3.1% above the May reading, and the second highest since the start of the pandemic. All of the June gain was among households with incomes above $100,000, and mainly in the way they judged future economic prospects. Consumers continued to pay close attention to three critical factors: inflation, unemployment, and interest rates. Not only did year-ahead inflation expectations fall slightly to 4.2% in June from May’s decade peak of 4.6%, consumers also believed that the price surges will mostly be temporary”, said Richard Curtin, chief economist of UM Surveys of Consumers.
Read the University of Michigan Surveys of Consumers release.