The preliminary June reading for the University of Michigan Index of Consumer Sentiment increased to 86.4 (Briefing.com consensus 83.5) from the final reading of 82.8 for May.

The Current Economic Conditions Index rose to 90.6 from the final May reading of 89.4.

The Index of Consumer Expectations jumped to 83.8 from the final May reading of 78.8.

The expected year-ahead inflation rate dropped to 4.0% from 4.6% while the 5-10 year expected inflation rate fell to 2.8% from 3.0%.

The key takeaway from the report is that, even though inflation expectations softened some, rising inflation remained a top concern for consumers.