FX.co ★ Michigan Consumer Confidence Index Rebounds

The University of Michigan Consumer Sentiment Index saw an increase in December 2025, rising to 53.3 from November's 51, which had been the second-lowest recorded outcome. This rise surpassed market expectations set at 52 and marked the first improvement in the headline index in five months. This uptick was fueled by an increase in the Consumer Expectations Index, climbing to 55 from November's 51, the highest since four months ago. However, the Current Economic Conditions Index edged down slightly, moving from 51.1 to 50.7, highlighting ongoing concerns over the fragility of consumers' views on their financial situations. In terms of inflation expectations, the outlook for the year ahead eased to 4.1% from 4.5%, reaching its lowest pace since January and marking four consecutive months of decline. Similarly, expectations for inflation over the next five years fell to 3.2% from 3.4%.