Overview

• Consumer sentiment in the U.S. has jumped 13% in January, reaching its highest level since July 2021, according to the University of Michigan survey.
• The New York Federal Reserve's survey shows that households' perceptions of their current financial situations have improved, with fewer respondents reporting being worse off than a year ago.
• Despite political polarization, both Democrats and Republicans have expressed their most favorable economic readings since the summer of 2021.
• The Department of Labor reported that weekly initial unemployment claims had fallen to 187,000 — the lowest level since September 2022, and the unemployment rate is at pre-pandemic levels.
• The Bureau of Labor Statistics reported that price growth continues to slow, and consumers expect the trend to continue.