Breaking: UoM Consumer Sentiment Index recovers to 73.7 in May vs. 68 expected

Eren Sengezer FXStreet

The Consumer Sentiment Index in the US edged higher to 73.7 in May (preliminary) from 71.8 in April, the University of Michigan's latest Surveys of Consumers showed on Friday. This reading came in better than the market expectation of 68.

Further details of the publication revealed that the Current Economic Conditions Index rose to 83 from 74.3, and the Index of Consumer Expectations fell to 67.7 from 70.1.

"Confidence inched upward in early May as the CARES relief checks improved consumers' finances and widespread price discounting boosted their buying attitudes," said Richard Curtin, Surveys of Consumers chief economist. "Despite these gains, personal financial prospects for the year ahead continued to weaken, falling to the lowest level in almost six years, with declines especially sharp among upper income households."

Market reaction

The US Dollar Index staged a modest rebound and turned flat on the day at 100.25 after the data.

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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