May preliminary University of Michigan consumer sentiment:
- Prior was 95.9
- Current conditions 99.8 vs 107.0 expected
- Expectations 84.5 vs 88.8
- One-year inflation expectations 2.9% vs 2.6% exp
- 5-10 year inflation expectations 2.8% vs 2.6% exp
Sure, inflation expectations were higher but overall sentiment was weak, worst since October. it's negative for the US dollar.
It's unbelievable how many reports in the past two months have been weak for the US economy.
The month-over-month decline was the largest in two years and worse than any of the 68 estimates on Bloomberg.
"The recent decline in consumer confidence does not indicate an incipient downturn in consumption and residential investment. Rather the data indicate a reluctant acceptance on the part of consumers that economic growth will remain near the same lackluster pace recorded during the past several years," sais Richard Curtain, the director of the survey.
He also said concerns over employment mounted.