CHICAGO, Aug. 26 (Xinhua) -- The Consumer Sentiment Index released Friday by the University of Michigan (UM) Surveys of Consumers rose to 58.2 in the August 2022 survey, up from 51.5 in July but below last August's 70.3.
The Current Conditions Index rose to 58.6, up from 58.1 in July but below last August's 78.5; and the Expectations Index rose to 58, up from 47.3 in July but below last August's 65.1.
The gains in sentiment were seen across age, education, income, region and political affiliation, and can be attributed to the recent deceleration in inflation, said UM economist Joanne Hsu, director of the surveys.
More than half of consumers expect their incomes to grow over the next year, with anticipated wage gains rising from 1.1 percent in July to 2.3 percent in August. However, only 18 percent of consumers expect their income growth to exceed inflation. The share of consumers expecting unemployment to rise in the year ahead fell from 38 percent last month to 34 percent, but up from 24 percent a year ago.
Overall, consumers' views on their personal finances improved about 7 percent, primarily due to a reduction in the share of consumers citing inflation's harmful effects on their living standards, down from 49 percent last month to 44 percent.
The Surveys of Consumers is a rotating panel survey based on a nationally representative sample that gives each household in the coterminous United States an equal probability of being selected. Interviews are conducted throughout the month by telephone.
