The Michigan Consumer Sentiment survey results surpass the predictions of analysts

Key points:

• The Michigan Consumer Sentiment fell from 69.5 in August to 68.1 in September.
• The Current Economic Conditions dropped from 75.7 to 71.4.
• The Index of Consumer Expectations rose from 65.5 to 66.0.  

On September 29, the University of Michigan published the final results of the Michigan Consumer Sentiment report for September. The report revealed a decrease in Michigan Consumer Sentiment from 69.5 in August to 68.1 in September, as opposed to the analyst consensus of 67.7.

Simultaneously, the Current Economic Conditions indicator decreased from 75.7 in August to 71.4 in September, while the Index of Consumer Expectations rose from 65.5 to 66.0.

The University of Michigan provided insight, stating, "Consumers are understandably uncertain about the direction of the economy due to various sources of uncertainty, such as the potential federal government shutdown and labor disputes in the auto industry."

Furthermore, the Chicago PMI report for September was reviewed by traders today. The report unveiled a decline in the Chicago PMI from 48.7 in August to 44.1 in September, falling short of the analyst consensus of 47.6.

The reaction of traders to the softer-than-anticipated PCE inflation report led to a decline in Treasury yields. However, the U.S. Dollar Index saw an upturn, surpassing the 106.00 level following the release of the Michigan Consumer Sentiment report, which outperformed expectations.

Concurrently, gold retracted towards the $1865 level after an unsuccessful attempt to exceed $1880, driven by the U.S. dollar's resurgence. The S&P 500 settled near the 4330 level, with minimal immediate impact from the Michigan Consumer Sentiment report as traders remained fixated on the PCE Price Index data.