Consumers are likely to “exercise greater caution” with their spending in the months ahead thanks to high prices and worries that unemployment is poised to rise.
Consumer sentiment barely budged in February despite robust hiring and job openings in January and benign inflation readings for December. Expectations for inflation over the next year, however, moved up.
“Recent developments in the economy, both positive and negative, have led to mixed attitudes among consumers with little net change in February,” said survey director Joanne Hsu.
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