Americans’ sentiment about the economy remained relatively steady in April, with a slight dip in the preliminary reading from 79.4 to 77.9. Despite recent disappointing inflation reports that have shaken Wall Street, sentiment remains above the record lows seen during the summer of 2022, although it is still below pre-pandemic levels.
According to Joanne Hsu, the director of the university’s Surveys of Consumers, sentiment has remained flat for the fourth consecutive month as consumers have not observed significant changes in the economy. Many consumers are holding off judgment on the economy, especially with the upcoming election, which they believe could heavily influence the economic trajectory.
On the other hand, expectations of inflation rates among US consumers have only increased slightly in April. The Federal Reserve is paying attention to whether Americans believe that inflation will eventually return to levels they are accustomed to. The story is still developing and will be updated.
The latest consumer survey from Michigan University has revealed that American sentiment about their economy remains relatively steady despite recent disappointing inflation reports and concerns about reaching 40-year highs. However, it’s worth noting that this sentiment is still below pre-pandemic levels but above record lows seen during summer 2021 due to Covid-19 effects.
