Richard Curtin

Consumer sentiment collapsed due to the surging Delta variant, higher inflation, slower wage growth, and smaller declines in unemployment.

“While most consumers still expect inflation to be transitory, there is growing evidence that an inflation storm is likely to develop on the not too distant horizon,” said Richard Curtin, the chief economist of the University of Michigan’s consumer sentiment survey.

President Donald Trump is behind in every national poll, but he enjoys a small lead among voters not aligned with either party, data from the University of Michigan’s survey of American consumers show.

Consumer sentiment rebounded from its midwinter slump in the first weeks of March, boosted by middle and lower income households.

U.S. consumer sentiment snapped back in February from a two-year low hit last month, indicating that the weak December retail sales reported this week were a temporary slump.