Source: University of Michigan
The Index of Consumer Sentiment in the US was recorded at 62.8 in February, down by 6.5% from January and 18.2% below the prior year. SPY is up +1.21%, DXY is down -0.37%.
- Consumers’ assessment of current economic conditions also worsened, with the index at 68.2 in February, 5.3% below last month. The index is now 20.9% below February 2021.
- Expectations edged lower, with the index hitting 59.4 in February, 7.3% below January. The index was down by 16.0% from the same month of 2021.
- The low sentiment reflects concerns over rising inflation, with consumers projecting prices to jump 4.9% over the next year. Inflation is expected to rise at an annual rate of 3% over five to ten years.