Consumer Sentiment: Steady at Post-Election Highs
May 26, 2017
Bottom Line: Consumers' assessments of current economic conditions fell slightly over the course of May but remained very close to the average of the last 6 months. While there remains a strong partisan divide with Republicans still more optimistic than Democrats about future economic conditions, the aggregate level of optimism remains high, despite few major policies having been adopted, noted the survey's economist. For now, this survey data supports the notion that the dip in consumer spending in the 1st Quarter was transitory and that the 2nd Quarter should see a rebound.
Consumer Sentiment was REVISED DOWN by 0.6 points in late May to 97.1%, compared with market expectations for a small decrease to 97.5%.
Sentiment has improved by 0.8 points over the past 3 months. With this month's slight increase, compared to April's final level of 97.0%, sentiment is 2.5% ABOVE its year ago level.
Current Conditions were REVISED DOWN by 1.0 points to 111.7%. Current conditions are now 1.6% ABOVE their year ago level.
Consumer Expectations were REVISED DOWN by 0.4 points to 87.7%. With this month's slight increase, compared to April's final level of 87.0%, expectations are 3.3% ABOVE their year ago level.
Article by Contingent Macro Advisors