Breaking: US UoM Consumer Sentiment Index falls sharply to 70.2 in August
|Consumer confidence in the US deteriorated sharply in August with the University of Michigan's Consumer Sentiment Index dropping to 70.2 in August (preliminary) from 81.2 in July. This reading missed the market expectation of 81.2 by a wide margin.
Further details of the publication revealed that the Current Conditions Index declined to 77.9 from 84.5 and the Consumer Expectations Index dropped to 65.2 from 79. Finally, the 1-year Inflation Outlook edged lower to 4.6% from 4.7%.
Commenting on the data, "consumers reported a stunning loss of confidence in the first half of August," noted Richard Curtin, Surveys of Consumers chief economist. "There is little doubt that the pandemic's resurgence due to the Delta variant has been met with a mixture of reason and emotion. Consumers have correctly reasoned that the economy's performance will be diminished over the next several months."
Market reaction
The greenback struggles to find demand after this report and the US Dollar Index was last seen losing 0.26% on the day at 92.75.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.