Consumer sentiment moved unexpectedly higher in January, according to a preliminary report from Reuters and the University of Michigan on Friday morning.
The headline consumer sentiment index rose to 61.9 from a final reading of 60.1 in December, despite expectations for a decline to the 59.0 level by a survey of economists.
Respondents to the survey were nevertheless downbeat about the current situation. The current situation index declined to 69.2 from 69.5 the month prior, while the outlook indicator increased to 57.2 in January from 54.0.
The report also noted an increase in inflation expectations for the United States, with consumers seeing a 2.0% rate of inflation over the next 12 months and a 3.0% rate over the next five years. In December, these expectations were 1.7% and 2.6%, respectively.
By Erik Kevin Franco and edited by Sarah Sussman
©CEP News Ltd. 2009