In October, local consumer sentiment in the United States showed an increase, reaching a mark that corresponds to a six-month high.
According to media reports, to a large extent, the intense upward dynamic of the mentioned indicator is due to the fact that US households have become more optimistic about buying conditions. The corresponding state of affairs within the framework of consumer sentiment is partly due to the fact that the cost of financing has become cheaper.
The final October sentiment index was fixed at 70.5. It is worth noting that a month earlier the corresponding indicator was 70.1. Preliminary reading was fixed at 68.9. This information was published by the University of Michigan on Friday, October 25.
Currently, in the United States, consumers expect prices to rise 2.7% year-on-year over 2025. It is worth noting that similar expectations were recorded last month. Also, US consumers assume that costs will grow by an average of 3% over the next five to ten years. Last month, they expected the corresponding figure to be 3.1%.
The University of Michigan’s measure of buying conditions for durable goods picked up to a four-month high. This dynamic of the indicator is because more than half of US consumers expect the Federal Reserve to continue cutting interest rates next year. It is highly likely that consumer spending will remain sustainable and will be able to be a factor in the support of the United States economic system.
Also, in October in the mentioned country, household income expectations rose to the highest level since June. Moreover, US consumers are showing growing optimism in the context of the perception of the labor market situation.
As we have reported earlier, US Retail Sales Demonstrate Growth.
