The Consumer Sentiment Index in the United States slipped slightly by 0.2% in October compared to the previous month, to stand at 55, a preliminary report posted by the University of Michigan showed on Friday. The figure plunged 22% on an annual level. The Current Economic Conditions Index rose 1% in the reported period compared to September and lost 6% compared to October 2024, amounting to 61 points. The Index of Consumer Expectations declined 1% on a monthly basis, but nosedived 20.9% on a yearly basis, coming in at 51.2. "Year-ahead inflation expectations ebbed from 4.7% last month to a still-high 4.6% this ... (full story)

Amid a barren landscape of macro data due to the shutdown, the fact that many are strongly focused on the incredibly noisy and historically dismissed University of Michigan sentiment survey for any signals on inflation expectations or job hopes is in itself noteworthy. So, with a big pinch of salt we dig in and see that the preliminary October headline sentiment index dropped very marginally (but was better than expected - 55.0 vs 54.0 exp vs 55.1 prior) with Current Conditions rising (from 60.4 to 61.0) and Expectations falling (from 51.7 to 51.2)...{chart} On the inflation side, 1Yr expectations fell to 4.6% from ... (full story)