The University of Michigan’s Consumer Sentiment Index is set to provide insights into the mood of American consumers with its preliminary release scheduled for December 5, 2025, at 15:00. This key monthly survey is an important economic indicator, measuring consumer expectations for personal finance, business environment and readiness to buy. Analysts surveyed by Refinitiv are forecasting the index to increase to 52 in December, up from 51. Consumers are still understandably frustrated, as prices remain high and incomes that have been stagnant for years continue to erode.
Conducted by the University of Michigan, the Consumer Sentiment Index compiles data that reflects the overall sentiment among U.S. consumers. The survey evaluates three broad areas: personal finances, business conditions, and buying conditions. Because emissions are based on household consumption, understanding household consumption is critical. It’s core to our economy — representing nearly two-thirds of the U.S. Gross Domestic Product (GDP).
Recent Trends in Consumer Sentiment
The latest version of the index paints an unsettled picture for consumers. And the overall Economic Expectations Index ticked up as well, increasing to 51—up from 50.3 in October. Yet views on the current economic situation just saw a sharp drop. The index plunged 7.5 points from 58.6 in October to 51.1. This drop is an indicator that consumers are growing more pessimistic about their immediate economic conditions.
Current personal finances and buying conditions for durable goods rose yet again, surging over 10%. This recent slump indicates that consumers are more cautious than ever about going out to buy bigger ticket items. Analysts cite these feelings to continued worry about inflation and the state of real income growth.
“Consumers remain frustrated about the persistence of high prices and weakening incomes.” – University of Michigan
Implications for Economic Growth
The U.S. Consumer Sentiment Index is one of the most closely watched barometers of economic movement in the United States. High consumer confidence typically translates into increased spending, which can drive faster economic growth. Sadly, though, the mood today is one of fear that might derail this growth path.
Looking forward, optimism has increased a bit. That sudden drop in current conditions has us wondering just how much consumers are about to spend. As consumer sentiment is at historical lows, this may result in less households consumption, which will eventually have a knock-on effect with GDP growth.
The next release in December should bring an even clearer picture of consumer sentiment. Will they change for the better, or will continued fiscal economic headwinds continue to haunt their financial choices?
The Importance of Consumer Insights
Knowing where consumers are coming from will be key for policymakers and business leaders to find a path forward. The Consumer Sentiment Index cuts through the noise to deliver actionable, real-time intelligence that helps public and private sector leaders make better informed decisions. This index comes out in two waves: a preliminary release, followed by a revised release two weeks later. Our stakeholders will be closely monitoring shifts in sentiment through this period.
That’s why the findings from this December survey are so incredibly important. They may disclose major trends as we head into the new year. As inflation remains a painful point of concern in consumers’ everyday lives, how consumers feel about their economic prospects will have an outsized effect on market conditions.