By Te-Ping Chen
The mood among American consumers brightened in June following signs President Trump's trade wars haven't caused major economic upheaval thus far, though sentiment still reflects an unsettled view of the economy.
The University of Michigan said Friday its preliminary index of consumer sentiment for June was 60.5, above a final reading of 52.2 in May and the first increase the index had marked in six months. The index had previously fallen for four consecutive months before stabilizing in May. Its current reading remains about 18% lower than it was in December 2024, when sentiments had risen following the election.
The preliminary June reading easily cleared a projected 54 among economists polled by The Wall Street Journal. The University of Michigan said the new reading suggests that consumers perceived an easing of tariff pressures and had adjusted somewhat to the shock of high tariffs announced in early April, which the U.S. later pulled back.
At the same time, "consumers still perceive wide-ranging downside risks to the economy," surveys director Joanne Hsu said in a release.
The latest survey period covered May 27 to June 9, a stretch that followed a temporary agreement by the U.S. and China to mutually lower tariffs, one that both countries looked poised to revive this week. Just ahead of the survey, Trump also said he would conduct trade negotiations with the European Union, delaying a threatened 50% tariff on imports until July.
A later survey release will include final data for June.
Write to Te-Ping Chen at Te-ping.Chen@wsj.com
(END) Dow Jones Newswires
June 13, 2025 10:37 ET (14:37 GMT)
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