Consumer Sentiment Index in the United States decreased by 7.5% on a monthly basis to 63 points in October, according to a preliminary report published by the University of Michigan on Friday. The index rose by 5.2% year over year.
The Current Economic Conditions Index fell by 6.6% month-on-month but increased by 1.7% compared to October 2022. The Index of Consumer Expectations declined 8% from the previous month but was up 8% on an annual basis.
"Year-ahead inflation expectations rose from 3.2% last month to 3.8% this month. The current reading is the highest since May 2023 and remains well above the 2.3-3.0% range seen in the two years prior to the pandemic. Long-run inflation expectations edged up from 2.8% last month to 3.0% this month, again staying within the narrow 2.9-3.1% range for 25 of the last 27 months," Surveys of Consumers Director Joanne Hsu noted.