In June, people felt more positive about the economy for the first time in six months. This is because inflation is stable, and the U.S. and China have agreed to a temporary trade peace. The University of Michigan's report shows that the consumer confidence index went up by 16% to 60.5, even though it's still lower than in December 2024. This improvement happened after President Trump decided to delay new taxes on goods from many countries and made a temporary agreement with China, which helped reduce worries about the trade war. However, U.S. taxes on imported goods are still high and might affect the economy more in the coming months. People's confidence in the economy also depends on their political views, with Republicans feeling more positive than Democrats. But this month, confidence increased among all groups. The Federal Reserve will probably see the drop in people's expectations for inflation as a good sign at their next meeting.