Americans felt a mix of pessimism about the economy and increased confidence in December. The University of Michigan’s consumer sentiment index showed a notable boost in early December, reversing four months of decline. Despite earlier concerns related to mortgage rates and geopolitical events, the index reached its highest level since August. Compared to a year ago, sentiment rose by approximately 14%, marking a notable increase from the all-time low in June 2022. The recent improvement was largely driven by growing optimism about inflation, which eased from 6.4% in January 2023 to 3.2% in October 2023. Survey director Joanne Hsu…
