The Dow Jones (DJIA) is trading higher on Friday after the University of Michigan released its October preliminary Index of Consumer Sentiment.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
The index came in at 55.0, slightly lower than September’s reading of 55.1, but still above the expectation for 54.0. At the same time, October’s reading is 22% lower than a year ago.
“Pocketbook issues like high prices and weakening job prospects remain at the forefront of consumers’ minds,” said Survey of Consumers Director Joanne Hsu. “At this time, consumers do not expect meaningful improvement in these factors.”
Consumers Shrug Off Government Shutdown amid High Inflation Expectations
Hsu added that the government shutdown, which is in its tenth day, has done little to affect consumers’ view of the economy.
Meanwhile, expectations of inflation remain elevated. The year-ahead expectation is at 4.6%, down from 4.7%, while the long-term expectation remains unchanged at 3.7%.
The University of Michigan will publish October’s final sentiment reading on Friday, October 24.
Stay ahead of macro events with our up-to-the-minute Economic Calendar — filter by impact, country, and more.