The final reading for the June Reuters/Michigan index of consumer
sentiment came in at 50.0 compared to the flash reading of 50.2 and the May
final reading of 58.4. This was the lowest reading on record.
Economists had expected the index to remain unrevised at 50.2.
The details of the latest Surveys of Consumers of the University of
Michigan also revealed that the index of consumer expectations tumbled 13.9
percent m-o-m to 47.5 this month, while the index of the current economic
conditions plunged 15.0 percent m-o-m to 53.8.
Commenting on the final results, Joanne Hsu, Surveys of Consumers
Director, noted that inflation remained a paramount concern to consumers. According
to the report, the estimates of year-ahead expected inflation was unchanged
m-o-m at 5.3 percent in June. Meanwhile, the 5-year inflation expectations increased
from 3.0 percent in May to 3.1 percent, the highest level since January (3.1 percent).