Consumption dominates activity and the US economy cannot recover if consumer spending does not revive, according to FXStreet’s analyst Joseph Trevisani.

Key quotes

“The Michigan consumer sentiment index is forecast to dip to 68 in May from 71.8 in April. The index for consumers’ views on their current economic conditions is expected to rise to 75 from 74.3 and the expectations is forecast to climb to 71.8 from 70.1.”

“It is crucial that Americans resume their normal spending habits. If that happens businesses will regain their confidence, workers will be rehired and the two-thirds of the economy that is powered by consumption will energize the rest.”  

“In this volatile and unusual moment the outlook of the average consumer matters a great deal more than the opinions of analysts, pundits, and politicians.”