Consumer sentiment falls in August for first time in four months

Consumer sentiment fell back in August as Americans grew increasingly worried about inflation, both on a short -and long-term basis.

The University of Michigan’s Consumer Sentiment Index decreased 5% month over month in August, landing at 58.6, according to preliminary results. The August figure is down 13.7% from a year ago. The deterioration in August largely stems from rising worries about inflation, noted Joanne Hsu, surveys of consumers director.

The index for current economic conditions fell 10.4% month over month in August to 60.9, while the consumer expectations index fell 0.9% to 57.2. It’s down 20.7% from a year ago.

Year-ahead inflation expectations rose from to 4.9% in August from 4.5% in July, with the increase seen across multiple demographic groups and all three political