Consumer sentiment sits at highest level since last August, but still about 20% below January 2025, according to the University of Michigan’s Survey of Consumers.
It rose to 57. 3 in February from 56.4 last month, according to the preliminary reading.
“Sentiment surged for consumers with the largest stock portfolios, while it stagnated and remained at dismal levels for consumers without stock holdings,” stated Surveys of Consumers Director Joanne Hsu.
“On net, modest increases in current personal finances and buying conditions for durables were offset by a small decline in long-run business conditions…. Concerns about the erosion of personal finances from high prices and elevated risk of job loss continue to be widespread.”
Year-ahead inflation expectations fell from 4.0% last month to 3.5% this month, the lowest reading since January 2025.
