Economic Outlook Drops To Lowest Of The Year As Inflation Expectations Surge

Tyler Durden's picture

University of Michigan Consumer Confidence came modestly higher than expected and limped higher off the lowest levels of the year. However, aside from this apparently positive event (accoding to some media pundits), there are two worrying things shifting rapidly. Consumer outlook for the economy (as opposed to current conditions) dropped to their lowest of the year with the largest 3-month drop in 11 months (so much for hope?); and inflation expectations soared by the most in 17 months.

Consumer's outlook for the economy is plunging...

 

while their expectations of inflation are soaring...

 

Charts: Bloomberg