Consumer Sentiment Index in the United States increased 2.2% on a monthly basis to 51.1 points in July, near record lows again, according to a preliminary report published by the University of Michigan on Friday. The index plummeted 37.1% year over year.
The Current Economic Conditions Index rose by 6.1% month-on-month but nosedived 32.4% compared to July 2021. Meanwhile, the Index of Consumer Expectations was down 0.4% from the previous month and dropped 40.1% on an annual basis.
"Inflation expectations have held steady or improved somewhat. The median expected year-ahead inflation rate was 5.2%, little changed from the past five months. Median long run expectations fell to 2.8%, just below the 2.9-3.1% range seen in the preceding 11 months," Surveys of Consumers Director Joanne Hsu revealed in the report.
