By Ed Frankl


U.S. consumers were more concerned this month over finances and high prices, as sentiment turned unexpectedly weaker for a third month in a row.

The University of Michigan's consumer-confidence survey declined to 65.6 in mid-June from 69.1 at the end of last month, data released Friday showed. Economists had expected the survey to increase to 71.5, according to a poll compiled by The Wall Street Journal.

Consumers' opinions of their personal finances weakened due to rising concerns over high prices as well as weakening incomes, said Joanne Hsu, director of the survey.

However, while the drop means sentiment is at its lowest level since November 2023, it was small enough to mean consumers perceived few changes in the economy from May, Hsu added.

Inflation expectations for 12 months ahead were unchanged this month at 3.3%, above the 2.3%-3.0% range of the two years prior to the pandemic, the survey said, potentially dialing up some inflationary concerns for consumers. It comes after the Federal Reserve on Wednesday forecast only one interest-rate cut this year.


Write to Ed Frankl at edward.frankl@wsj.com


(END) Dow Jones Newswires

06-14-24 1037ET