(Reuters) -U.S. consumer sentiment fell for a second straight month in September as consumers saw rising risks to business conditions, the labor market and inflation.<\/p>\n
The University of Michigan’s Surveys of Consumers on Friday said its Consumer Sentiment Index fell to 55.4 this month, the lowest since May, from a final reading of 58.2 in August. Economists polled by Reuters had been expecting a reading of 58.0, little changed from the month before.<\/p>\n
“Consumers continue to note multiple vulnerabilities in the economy, with rising risks to business conditions, labor markets, and inflation,” Joanne Hsu, the director of the Surveys of Consumers, said in a statement.<\/p>\n
“Likewise, consumers perceive risks to their pocketbooks as well; current and expected personal finances both eased about 8% this month. Trade policy remains highly salient to consumers, with about 60% of consumers providing unprompted comments about tariffs during interviews, little changed from last month.”<\/p>\n
The survey’s measure of consumer expectations for inflation over the next year was unchanged at 4.8% this month. Consumers’ expectation for inflation over the next five years rose to 3.9% from 3.5% last month.<\/p>\n