In the United States, consumer sentiment has been deteriorating in the current month, as residents of the country continue to be frustrated with the high level of prices for goods and services.
The University of Michigan’s preliminary reading on the overall index of consumer sentiment in October was recorded at 68.9. It is worth noting that last month the corresponding figure was 70.1. At the same time, economists surveyed by the media predicted that the mentioned preliminary reading in October would be fixed at 70.8.
Surveys of Consumers Director Joanne Hsu said that in the United States, consumers continue to express frustration over high prices, even though inflation expectations have substantially eased. As part of this statement, it was separately noted that long-run business conditions rose to their highest reading in six months, while the current and expected personal finances both softened slightly.
The survey’s reading of the one-year inflation forecast showed growth in October. Currently, the corresponding indicator is at 2.9%. In September, this figure was 2.7%. At the same time, the five-year inflation outlook dropped. Currently, this figure is 3%. Last month, the five-year inflation outlook was fixed at 3.1%.
Joanne Hsu said that on the eve of the United States presidential election, which will be held in November, many consumers refrain from reasoning on the long-term prospects of the dynamic of the situation in the US economic system. It is worth noting that such a position is generally natural and logical for periods when there is a possibility or inevitability of political changes or political turbulence.
As we have reported earlier, US Inflation Rate Tops Expectations.
