Consumer Sentiment was 59.5 in September, according to the University of Michigan Consumer Sentiment Index. September figure was 1.3 points above August’s reading and is 13.3 points below the September 2021 index. The Current Economic Conditions Index rose 0.3 points from the previous month to 58.9 and is 21.2 points below the September 2021 index. The Consumer Expectations Index increased 0.1 points to 59.9 and is 8.2 points lower from a year ago.
“With continued declines in energy prices, the median expected year-ahead inflation rate declined to 4.6%, the lowest reading since last September. At 2.8%, median long run inflation expectations fell below the 2.9-3.1% range for the first time since July 2021. However, it is unclear if these improvements will persist, as consumers continued to exhibit substantial uncertainty over the future trajectory of prices (see chart). Uncertainty over short-run inflation reached levels last seen in 1982, and uncertainty over long run inflation rose from 3.9 to 4.5 this month, well above the 3.4 level seen last September.” said Joanne Hsu, Director of UM Surveys of Consumers.
Read the University of Michigan Surveys of Consumers release.