The U-Mich consumer sentiment surged, but long-term inflation remains a challenge🤔

U-Mich consumer sentiment jumped to 72.6, the highest levels since September 2021, led by a surge in current conditions (77.5 vs 69 prior) and a slight drop in 1-year inflation expectations (3.4% vs 3.3% prior), matching the lowest levels seen since early 2021. The drop in near-term expectations matches the softening seen in recent hard inflation data, where the % of CPI categories showing increasing YoY growth is at the lowest levels since 2009. However, the only wrinkle in the release was the rebound in long-term inflation expectations back to 3.1%, matching a 12-year high going back to 2010. It appears that the battle to take long inflation in the long-run is going to take quite a while longer.

#Umich #consumer #inflations #CPIData

Nvidia's stock price falls by nearly 10%, market cautiously awaits Jackson Hole meeting outcome🫣

Despite reporting blockbuster results, Nvidia round tripped nearly 10% from the overnight peak on profit-taking and apparent concerns into Jackson Hole today as the ugly August continues. The SPX is down 11 out of 14 trading days for a -4.8% MTD and the Nasdaq down nearly -7% since the end of July. Tech and consumer names dragged the SPX down by -1.4% on the day, with Nvidia dragging the former entirely into the red, and the latter struggling on further profit warnings as US consumers (finally) appear to be slowing down.

#Nvidia #SPX500 #Nasdaq #tech #consumer