MW: Consumer sentiment retreats a bit on fears of the future
Consumer sentiment eased slightly in early June as Americans fretted more about future economic prospects.
The University of Michigan’s survey for the first half of June dipped to 94.3 from 94.7. Economists surveyed by MarketWatch had expected a steeper decline, to 93.8.
The current conditions gauge rose to 111.7 from 109.9, but the expectations component fell to 83.2 from 84.9. That reading is 5.2% lower than it was a year ago.
But consumers rated their current financial situation the best since 2007 largely thanks to wage gains.
If job growth is slowing, as signalled by the May payrolls report released earlier in the month, that will weigh on confidence and spending, noted survey director Richard Curtin in a release.