UMich Miss Dents Gold Prices

The University of Michigan released its preliminary Consumer Sentiment Index for August at 10am ET on Friday, and the number landed well below expectations. The reading came in at 51, against a consensus forecast of 54.5 and a July final of 55.2.

This represents an 8% decline in just one month, reversing two consecutive months of improvement. Additionally, one-year inflation expectations rose to 4.3%, up from 4.2% in July.

The combination of falling growth confidence and rising price expectations is what precious metals investors have been watching for, a stagflation fingerprint.