University of Michigan consumer sentiment (preliminary) for May 67.4 versus 76.0 estimate

• Prior month 77.2
• Consumer sentiment for May (preliminary) 67.4 versus 76.0 estimate. Prior month 77.2
• expectations 66.5 versus 75.0 expected. Prior month 76.0
• current conditions 68.8 versus 79.0 last month
• 1-year inflation expectations 3.5% versus 3.2% last month. Highest since November 2023
• 5-year inflation expectations 3.1% versus 3.0% last month

A worrisome report in that inflation expectations rose while consumer sentiment moved lower. Gas prices and stock prices can be a major influence. The recent move lower in oil prices may not be accounted for in the report. Although looking at the average gas price in the US, they had remained steady over last month. Is there a decline to come?

Having said that, crude oil prices had a most recent low at $67.74 in December. The high price for 2024 reached $87.60 on April 5. The current price is at $79.57

Stocks have dipped a bit with the NASDAQ index now at up 57 points or 0.35%. The S&P index is up 17 points or zero point

This article was written by Greg Michalowski at www.forexlive.com.