Rising wages drives both optimism, pessimism on inflation.
Consumers voiced much more positive views in April, rising 9.8% above March, according to the University of Michigan Surveys of Consumers.
The Consumer Sentiment Index rose to 65.2 in April, up from 59.4 in March, but well below last April’s 88.3—so far, President Biden’s peak. The Expectations Index rose to 62.5 in April, up from 54.3 in March, and the Current Conditions Index rose more modestly, to 69.4 in April from 67.2 in March. Compared with a year ago, both indices lost about 25% of their value.
Consumer sentiment is viewed as