US Consumer Sentiment Falls to 46.3 as High Oil Prices and Yields Lift Inflation Fears
Updated
Updated · Bloomberg · Oct 9
US Consumer Sentiment Falls to 46.3 as High Oil Prices and Yields Lift Inflation Fears
3 articles · Updated · Bloomberg · Oct 9
Summary
46.3 — the University of Michigan’s preliminary October sentiment index — marked a five-month low as Americans grew more downbeat on the economy.
High oil prices and rising Treasury yields drove the slide, while one-year inflation expectations climbed to 4.7% and mortgage rates reached 7.4%.
Consumer spending has still held up, with retail sales and personal consumption expenditures trending higher even as households keep buying despite elevated fuel and food costs.
That resilience is increasingly tied to heavier borrowing, raising concern that a pullback in spending could threaten the stock market rally if weak sentiment starts to bite.