US Sentiment Hits Three-Month High, Beats Forecasts

The University of Michigan’s preliminary consumer sentiment index rose to 51 in November from 48 in October, reaching a three-month high and exceeding economists’ expectations. Modest improvements in views of personal finances and business conditions, driven largely by independent voters, contributed to the increase. Sentiment improved among lower- and middle-wealth households but declined among consumers with the largest stock portfolios after turbulence in equity markets. Inflation expectations eased, though consumers continued to cite cost-of-living pressures and raised some concerns about a potential AI bubble. Despite the monthly gain, sentiment remains subdued and below its February level.