U.S. Consumer Sentiment Drops Sharply – UoM

Consumer sentiment in the United States declined this month, registering its biggest drop since the beginning of the coronavirus pandemic.

More people in the U.S. are concerned about the rising inflation and the slow pace of the labor market recovery.

The University of Michigan consumer sentiment index dropped to a preliminary reading of 70.2 in August, down from 81.2 in July, reaching its lowest level since 2011.

This marked the largest drop in consumer confidence since the global financial crisis and the onset of the coronavirus pandemic.

The current economic conditions index decreased to 77.9 from 84.5 in July, and the index of consumer expectations fell to 65.2 from 79.