Index of Consumer Sentiment
The Index of Consumer Sentiment, released by the University of Michigan on the Surveys of Consumers report, fell to 97.2 in April compared to 98.4 in March and 98.8 last April. This represents a change of -1.2% and -1.6% month-over-month and year-over-year respectively. According to the University of Michigan report, Consumer Sentiment has moved sideways for the last 28 months at an average reading of 97.2 (the same as the current reading). Additionally, the report notes that any deviations from this average have been statistically insignificant.
Consumers Remain Optimistic
Consumers are remarkably optimistic when asked about their expectations for the future. Of consumers surveyed, 44% anticipated conditions to improve while only 8% expected deterioration according to the report. Furthermore, 60% expected to be better off financially over the next five years – the highest ever recorded.
According to the Surveys of Consumers report, personal consumption is expected to grow by 2.5% in 2019.