U.S. consumer sentiment improved during October, as the average consumer's view of future and current economic conditions improved along with lower gasoline prices, a report showed on Friday The University of Michigan's consumer sentiment index registered at 93.6 for the end of October-significantly higher than September's final reading of 85.4. Consumer spending accounts for about two-thirds of U.S. economic activity, and the confidence index has traditionally been viewed as an important economic barometer. Expectations for inflation were virtually unchanged from September, according to the survey. The final October reading on one-year U.S. inflation expectations was 3.1 percent, unchanged from September. Median expectations for inflation over a five-year horizon were unchanged from early October at 3.1 percent. As a result, government bonds were little moved by the data.
