US consumer sentiment rises to five-month high in July as gasoline prices fall

The University of Michigan sentiment index reached a five-month high of 54.4 in July 2026, primarily driven by a decrease in gasoline prices. However, geopolitical risks threaten to reverse this trend. Simultaneously, during the peak summer driving season, US gasoline prices are projected to rise toward $4 a gallon again. This increase occurs as Americans engage in frequent road trips, leading to higher costs for daily fuel consumption across the United States.