Data fits with FOMC's gradualist approach on rates - ANZ

Analysts at ANZ noted that the University of Michigan November consumer sentiment made a new recovery high rising to 98.5.

Key Quotes:

"The gain was driven by rising expectations. Inflation expectations were relatively stable at 2.5% and 2.4% for the 1-yr and 5-10 yr outlook respectively. The data hints at healthy consumption and modest inflation pressures, which fits with the FOMC's gradualist approach on rates. In the confidence rose to 0.1 in October. The improved economic growth outlook, Euro-area consumer stronger labour market and wealth effects from higher equity (+21% ytd) and house prices are all contributing factors."