UMichigan Consumer Sentiment Falls Below Estimates

Richard Curtin from the University of Michigan discusses consumer sentiment, highlighting that consumers remain pessimistic, with lower-income groups being more optimistic. Inflation expectations have shifted, with short-term rates expected to remain high, but long-term rates anticipated to decrease due to potential Fed actions. Retail sales data suggests consumer optimism, but when adjusted for inflation, the gains are less significant. Confidence in government economic policies has declined, with consumers expressing concerns over current programs and economic management.

What does Richard Curtin suggest about the consumers' view on inflation being transient?

How do retail sales numbers reflect consumer sentiment according to the discussion?

What is the significance of the decline in confidence from 31% to 19% regarding government performance?