US: Focus on consumer sentiment data - Nomura

Analysts at Nomura note that the preliminary estimate of US consumer sentiment from the University of Michigan in September showed a slight, 1.6pp decline to 95.3.

Key Quotes

“While current conditions sentiment improved, expectations deteriorated as consumers expressed some concern over the effect of the active hurricane season on the national economy. However, consumer sentiment overall remains elevated with the current economic conditions index at its highest level since November 2000. We expect the drop in expectations to reverse in coming months as post-hurricane rebuilding efforts come underway.”

“Inflation expectations at both the one and 5-10 year horizons ticked up by 0.1pp in the preliminary September report, to 2.7% and 2.6%, respectively.”