U.S. consumer sentiment stabilizes
U.S. consumer sentiment stabilizes after Iranian tensions last week, and with the signing today of the Phase One China deal, according to Morning Consult Economic Intelligence data. The index slipped to 112.8 for the week ended January 12 (the first weekly decline since October) as worries over a conflict with Iran increased, but it bounced following President Trump's speech and deescalation of the situation. It's now "stable and remains elevated relative to the past two years." The report also noted consumers reacted more strongly to the tensions than the financial markets did. As to today's Phase One deal, the signing ceremony (including a fact sheet) poses downside risks. With a lot of good news priced in, any deviation from the expected could weigh on confidence. Read the report.