Global| Jul 27 2007Michigan Consumer Sentiment Up During July
by:Tom Moeller
|in:Economy in Brief
Summary
The University of Michigan's reading of consumer sentiment this month rose 6.0% to 90.4, the highest level since February. The increase was less than the 8.3% gain reported in the preliminary report and it fell short of Consensus [...]
The University of Michigan's reading of consumer sentiment this month rose 6.0% to 90.4, the highest level since February. The increase was less than the 8.3% gain reported in the preliminary report and it fell short of Consensus expectations for a reading of 91.5.
Consumer expectations contributed to the rise with a 9.1% jump m/m.
An improved expectation for business conditions during the next year contributed with an 11.7% m/m rise and an improved outlook for the next five years contributed with a 9.1% jump. Both these increases were much reduced from the preliminary report. 
An improved view of the current economic conditions contributed as it rose 2.6%. The view of current personal finances rose 4.5% (4.5% y/y) but the perspective of current buying conditions rose just 1.3% (-1.3% y/y).
The assessment of government policy improved 4.9% (4.9% y/y) after falling sharply during the prior two months.
The University of Michigan survey is not seasonally adjusted.The reading is based on telephone interviews with about 500 households at month-end.
| University of Michigan | July | July (Prelim.) | July y/y | June | 2006 | 2005 |
|---|---|---|---|---|---|---|
| Consumer Sentiment | 90.4 | 92.4 | 6.7% | 85.3 | 87.3 | 88.6 |
| Current Conditions | 104.5 | 105.7 | 1.0% | 101.9 | 105.1 | 105.9 |
| Expectations | 81.5 | 83.9 | 12.4% | 74.7 | 75.9 | 77.4 |
Tom Moeller
AuthorMore in Author Profile »Prior to joining Haver Analytics in 2000, Mr. Moeller worked as the Economist at Chancellor Capital Management from 1985 to 1999. There, he developed comprehensive economic forecasts and interpreted economic data for equity and fixed income portfolio managers. Also at Chancellor, Mr. Moeller worked as an equity analyst and was responsible for researching and rating companies in the economically sensitive automobile and housing industries for investment in Chancellor’s equity portfolio. Prior to joining Chancellor, Mr. Moeller was an Economist at Citibank from 1979 to 1984. He also analyzed pricing behavior in the metals industry for the Council on Wage and Price Stability in Washington, D.C. In 1999, Mr. Moeller received the award for most accurate forecast from the Forecasters' Club of New York. From 1990 to 1992 he was President of the New York Association for Business Economists. Mr. Moeller earned an M.B.A. in Finance from Fordham University, where he graduated in 1987. He holds a Bachelor of Arts in Economics from George Washington University.
