Consumer confidence rose less than expected

Thanksgiving Day shoppers line up to start shopping at a Target store in Chicago
Thomson Reuters

Consumer confidence rose less than expected.

The University of Michigan’s final consumer sentiment index for July came in at 90.0.

Economists were expecting the final index to rise slightly to 90.2 in July, according to the Bloomberg consensus.

Brexit was mentioned by a record number of households with incomes in the top third (23%). This was over twice as frequently as among households with incomes in the bottom two-thirds (11%).

Still, “given the prompt rebound in stock prices as well as the tiny direct impact on U.S. trade, it is surprising that concerns about Brexit remained nearly as high in late July as immediately following the Brexit vote,” the report noted.

“While concerns about Brexit are likely to quickly recede, weaker prospects for the economy are likely to remain. Uncertainties surrounding global economic prospects and the presidential election will keep consumers more cautious in their expectations for future economic growth.”