Consumer Sentiment Index Little Changed

Improvement in the expectations component helped give a lift to the consumer sentiment index which ends April at 98.8, still down noticeably from March's 14-year high at 101.4 but up a full point from the mid-month flash.

Expectations proved little changed, down 4 tenths from March to 88.4 vs the mid-month flash of 86.8. Strength here points to confidence in the jobs outlook. But the component for current conditions did slow, ending April at 114.9 for a sharp 6.3 point decline in what is not a positive signal for April consumer spending. Inflation expectations remain very soft, down 1 tenth for the year-ahead outlook to 2.7 percent and unchanged at 2.5 percent for the 5-year outlook.

Comparing the flash with today's final reading implies a roughly 100 pace for the sentiment index in the last two weeks of the month, a very solid pace consistent with other consumer confidence readings which, in contrast to sales however, have been holding at or near record highs.