US dollar sees little reaction to upbeat UoM Consumer Sentiment data

The University of Michigan consumer sentiment for the US rose to 59.10 in December from 56.8 in November, above market forecasts of 56.9, preliminary estimates showed.

• Current conditions were assessed more positively to 60.2 vs 58.8 
• Expectations gauge also improved to 58.4 from 55.6.  
• Inflation Inflation expectations for the year-ahead fell to 4.6%, the lowest reading since September of 2021 while the five-year outlook remained unchanged at 3%.​​​​​​​

The short-term inflation expectations dropped  to 4.6%, the lowest since September 2021,  while the medium-term inflation expectation continues ot hover at 3.0%. Source: Bloomberg via ZeroHedge

"Gains in the sentiment index were seen across multiple demographic groups, with particularly large increases for higher-income families and those with larger stock holdings, supported by recent rises in financial markets", Surveys of Consumers Director Joanne Hsu said.

EURUSD initially currency pair rose after publication however sellers manage to quickly regain control and price is testing local support at 1.0540. Source: xStation5