UMich Sentiment Slumps In July As Inflation Expectations Hit 13 Year High
Following June’s mixed picture on sentiment, UMich was expected to show confidence improving for both current and future conditions, but it didn’t… by a long way…everything missed huge.
The headline UMich print plunged from 85.5 to 80.8 in preliminary July data, with both current conditions (84.5 vs 88.6 prior) and hope (expectations tumbled from 83.5 to 78.4)…
Buying attitudes crashed even further in this flash July data with homebuying sentiment the worst since 1982…
And aggregating those 3 indices, this is the worst buying attitudes ever from the survey…
Just 30% of all consumers cited favorable home buying conditions, the lowest level since September 1982; when asked to explain their bleak assessment, 71% mentioned high home price, the highest percentage ever recorded.
Finally, we note that short-term inflation expectations soared to their highest since June 2008 (seemingly confirming The Fed’s survey that this is anything but transitory)…
Get back to work Mr.Powell and keep that narrative going!
Fri, 07/16/2021 – 10:07