Americans haven’t felt any better about the economy these past few months, but they haven’t felt any worse either. That’s striking because disappointing inflation reports have thrown Wall Street into a tailspin.
The University of Michigan’s latest consumer survey showed that sentiment largely held steady in April, according to preliminary reading, edging lower to a reading of 77.9 from 79.4. Sentiment is well above the record lows seen in the summer of 2022, when inflation reached 40-year highs, though it remains below pre-pandemic levels.
“Sentiment moved sideways for the fourth straight month, as consumers perceived few meaningful developments in the economy,” said Joanne Hsu, the university’s Surveys of Consumers director, in a release.
“Overall, consumers are reserving judgment about the economy in light of the upcoming election, which, in the view of many consumers, could have a substantial impact on the trajectory of the economy,” she added.
Meanwhile, US consumers’ expectations of inflation rates remain in check, ticking up only slightly in April. The Federal Reserve cares whether or not Americans have faith that inflation will eventually return to level they’re used to.
This story is developing and will be updated.
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