US consumer sentiment soared in early July to an almost two-year high, bolstered by easing inflation and a strong labor market. The University of Michigan preliminary index rose by 8.2 points to 72.6, the highest since September 2021. The reading topped all forecasts in a Bloomberg survey of economists, and the monthly advance was the largest since 2006. Meanwhile, short-term inflation expectations ticked higher in early July to 3.4% from 3.3% a month earlier. That’s still well below last year’s peak of 5.4%. They see costs rising 3.1% on an annual basis over the next five to 10 years. “The sharp rise in sentiment ... (full story)