UMich May prelim client sentiment 50.8 vs 53.4 anticipated

• Prior was 52.2
• Current conditions 57.6 vs 59.6 expected
• Expectations 46.5 vs 48.0 expected
• 1-year inflation 7.3% vs 6.5% prior
• 5-year inflation 4.6% vs 4.4% prior

This is a poor reading. I would have expected to see some recovery after Trump reversed the Liberation Day tariffs but that didn’t show up in this round. The pause in China tariffs should be a tailwind in the month ahead.

This article was written by Adam Button at www.forexlive.com.