Today we have the release of the University of Michigan (UoM) sentiment report. Against the general upward trend in confidence, June’s consumer sentiment report declined moderately, but shouldn’t indicate a downward trend. Stock markets have been rising as consumers move to riskier assets as economic conditions improve. This, combined with strength in the labour market, provides a platform for a positive result in today’s UoM report.
University of Michigan Sentiment report, 13:55 GMT.
Investors Notes:
- June’s employment report came in at 288,000 jobs created, a strong signal of demand for new workers.
- Consumer sentiment declined in June to 81.2 from 81.9 in May, yet the report concluded that consumers were positive regarding the last 6 months./li>
- In June’s report, consumer’s felt more positive about economic conditions, yet consumers’ expectations remained low, dropping to 72.2 amid uncertainty regarding future Federal Reserve policy decisions.
- Consumer sentiment is expected to rise to 83.5 from 82.5 in July’s report.
- Banc De Binary analysts predict that there will be a moderate rise in consumer sentiment, indicating a potential upward movement in the USD/JPY.