Stock market today: Dow, S&P 500, Nasdaq edge higher as US stocks eye a weekly win

Consumer sentiment tumbled further in May as the impacts of President Trump’s tariff policies remained top of mind.

The latest University of Michigan consumer sentiment survey released Friday showed sentiment hit its second lowest reading on record. The index slid to a reading of 50.8, below the 52.2 seen last month and the 53.4 expected by economists.

Pessimism over the inflation outlook soared again, as one-year inflation expectations jumped to 7.3% — the highest since 1981 — from 6.5% the month prior. Just four months ago, consumers had expected inflation of 3.3% over the next year.

Long-run inflation expectations, which track expectations over the next five to 10 years, climbed, too, hitting 4.6% in May, up from 4.4% in April.