In June, consumer confidence rose to 109.7, the highest it has been in over a year, as the geopolitical landscape and the banking sector stabilized. Two important details of the report for investors to take note are insights into inflation and the six-month outlook. Inflation expectations fell to their lowest since 2020, while the outlook, as measured by the Expectations Index, remained below 80, the level consistent with a recession within the year. Investors should anticipate inflation easing further throughout this year as the economic outlook dims. Markets still must deal with the unknowns with regional banks and empty office space but so far, other areas of the economy seem to be strong enough to offset the potential downsides of the Federal Reserve's (Fed) aggressive rate hiking campaign

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