S&P 500 (SPX) Gains 9% YTD Despite Record Low Consumer Sentiment

In May 2026, the University of Michigan consumer sentiment index hit an all-time low of 44.8, down from 48.2, amid a 9% gain in the S&P 500 (SPX) year-to-date. The Nasdaq-100 increased by 17% YTD, signaling a significant disconnect between equity prices and consumer confidence. Meanwhile, one-year inflation expectations rose to 4.8%, the highest since the early 1980s, alongside a 10-year Treasury yield of 4.57%. This data illustrates a growing disparity between market performance and consumer outlook.