The robust pick-up in the current conditions index hints that the labour market, while still weak is improving, while inflation expectations seem to be heading in the right direction. Admittedly the University of Michigan consumer sentiment index remains far below its long run average, but the relationship between sentiment levels and household spending has been weak in recent years.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services