US consumer sentiment dips amid rising inflation concerns
The University of Michigan's consumer sentiment index has reported a minor decline in U.S. consumer sentiment, with the index falling to 77.9 in the current month from 79.4 in March. Despite the slight decrease, the index value remains near the elevated levels seen recently, and it stands approximately midway between the all-time low observed in June 2022 and the averages noted before the pandemic.
A contributing factor to the decline in consumer sentiment is the recent increase in gas prices. Over the past month, the average price for a gallon of gas across the nation has climbed roughly 7% to $3.63. Additionally, consumers have expressed expectations for inflation to be around 3.1% a year from now, a figure that surpasses the Federal Reserve's target inflation rate of 2%.
