In April, consumer sentiment remained at historically low levels, despite the establishment of a ceasefire in the Middle East, as indicated by a survey. The school’s Survey of Consumers indicated that the sentiment gauge stands at 49.8, marginally surpassing the preliminary April figure of 47.6 and exceeding the consensus estimate of 48.6. Nonetheless, the reading reflects a 6.6% decline from the previous month and a 4.6% decrease compared to the same period last year, representing the lowest level on record.

The university conducts the survey bi-monthly, with the initial assessment capturing early-month sentiment and the subsequent evaluation serving as a mid-month indicator. “Following the announcement of the two-week cease-fire and a slight easing in gas prices, sentiment managed to regain a modest share of its early-month declines,” stated Joanne Hsu. Inflation expectations for the near term continue to be high, as consumers anticipate a price increase of 4.7% over the next year.