Americans’ economic outlook brightens as inflation slows and wages outpace prices

By CHRISTOPHER RUGABER
AP Economics Writer

WASHINGTON (AP) — After an extended period of gloom, Americans are starting to feel better about inflation and the economy — a trend that could sustain consumer spending, fuel economic growth and potentially affect President Joe Biden’s political fortunes. A measure of consumer sentiment by the University of Michigan has jumped in the past two months by the most since 1991. A survey by the Federal Reserve Bank of New York found that Americans’ inflation expectations have reached their lowest point in nearly three years. And the same survey found that the proportion who expect their own finances to improve a year from now is at its highest level since June 2021.