The University of Michigan’s Consumer Sentiment Index rose to 55.2 in July, up from 49.5 in June and improving for the second straight month. The Current Index rose to 54.8, up from 47.7 in June and below last July’s 68.0. The Expectations Index rose to 55.4, up from 50.7 in June and below last July’s 57.7. “Year-ahead inflation expectations ticked down from 4.6 percent in June to a still-elevated 4.2 percent this month. Long-run inflation expectations held steady from last month at 3.3 percent, remaining a bit higher than the 2.8 percent to 3.2 percent range seen in 2024.”