U.S. consumer sentiment declined for the second consecutive month in September
However, there was a slight improvement in the economic outlook among households
Household expectations for near-term inflation dropped to their lowest point in over a year
The University of Michigan's preliminary Consumer Sentiment Index for September was 67.7, down from 69.5 in August
This reading was below the economist consensus forecast of 69.1
The survey indicated a decrease in the barometer of current economic conditions
On the positive side, consumer expectations for the future showed a slight increase
Both short-term and long-term economic expectations saw modest improvements
Survey director Joanne Hsu noted that consumers remained cautious about the overall economic trajectory
One-year inflation expectations reached a low of 3.1%, the lowest since March 2021, while the five-year inflation outlook dropped to 2.7%, a one-year low from the previous 3.0%