The Thomson Reuters/University of Michigan final consumer sentiment index decreased to 91.7 in February from 92.0 in January, up from the preliminary estimate of 90.7 and beating expectations a fall to 91.0.
“Although consumers are not as optimistic as at the start of last year, the Sentiment Index is just 6.5% below the cyclical peak of 98.1 set in January 2015,” the Surveys of Consumers chief economist at the University of Michigan Richard Curtin.
“The current decline of just 6.5% hardly merits a recession warning, although it does indicate a somewhat slower expansion in consumer expenditures-to 2.7% in 2016, down from 3.1% in 2015,” he added.
The current economic conditions index rose to 106.8 in February from 106.4 in January, up from a preliminary reading of 105.8.
The index of consumer expectations declined to 81.9 in February from 82.7 in January, up from a preliminary reading of 81.0.