US August prelim UMich consumer sentiment 51.0 vs 54.5 expected
- Prior was 55.2
- Conditions 51.8 vs 55.0 expected (prior 54.9)
- Expectations 50.6 vs 55.2 expected (prior 54.0)
- 1-year inflation 4.3% vs 4.2% prior
- 5-year inflation 3.3% vs 3.3% prior
The market doesn’t put any weight on this survey anymore. It’s highly infected by politics and hasn’t forecast anything in regards to consumer spending in ages. The inflation numbers did once trick the Fed into an aggressive rate hike in the post-covid era, which they had to leak via Timiraos. The irony is that the jump in inflation expectations in that number was revised away two weeks later.
This article was written by Adam Button at investinglive.com.