ANN ARBOR—Consumer sentiment stagnated this month with very little change, just 0.2 index points higher than January, according to the University of Michigan Surveys of Consumers. 

All index components posted insignificant movements this month; overall, consumers do not perceive any material change in the economy in February. About 46% of consumers spontaneously mentioned high prices eroding their personal finances; readings have exceeded 40% for seven months in a row. 

“The persistence of these trends highlights consumers’ continued frustration with high prices even as their worries about future inflation have softened,” said U-M economist Joanne Hsu, director of the surveys. “Sentiment is about 13% below a year ago and more than 20% below January 2025.”

Disagreement visible across wealth and income 

Beneath the surface, however, there is substantial variation across the population in how consumers see the economy.

An increase in sentiment in February for the largest stockholders was fully offset by a decline among consumers without stock holdings, leaving the national index unchanged from last month.

“As a result, sentiment for the wealthiest consumers is now more than 30% higher than sentiment for non-stockholders,” Hsu said. “Moreover, consumers broadly expect stock markets to continue rising, which would make these trends likely to continue.”

Similar divergences are seen across income and education. Higher-income consumers have much more favorable expectations for their personal finances than their lower-income counterparts. 

College-educated consumers report much stronger income prospects than other consumers. These patterns highlight the variation in economic experiences across households; wealthier and higher-income consumers feel less vulnerable to possible risks in the economy.

Mixed views about labor markets

Overall views of labor markets remain considerably cooler than a year ago. About 23% of consumers spontaneously mentioned lower incomes as a drag on their personal finances, the second highest reading since 2021, Hsu said.

Looking to the future, expected growth in household incomes remained relatively flat as well. Meanwhile, a substantial 58% of consumers expect unemployment to rise in the year ahead, still a slight improvement from January.

Consumer Sentiment Index

The Consumer Sentiment Index rose to 56.6 in the February 2026 survey, up from 56.4 in January and below last February’s 64.7. The Current Index rose to 56.6, up from 55.4 in January and below last February’s 65.7. The Expectations Index rose to 56.6, down from 57.0 in January and below last February’s 64.0. 

About the surveys

The Surveys of Consumers is a rotating panel survey at the University of Michigan Institute for Social Research. It is based on a nationally representative sample that gives each household in the coterminous U.S. an equal probability of being selected. Interviews are conducted throughout the month by web. The minimum monthly change required for significance at the 95% level in the Sentiment Index is 4.8 points; for the Current Economic Conditions Index and Index of Consumer Expectations, the minimum is 6 points.

Contact: Fernanda Pires, [email protected] 

              U-M Surveys of Consumers, 734-763-5224