US consumer sentiment index fell to 68.8 in January from 70.6 in December, according to preliminary data released by the University of Michigan on Friday. The report showed one-year inflation expectations ticked up to 4.9 percent in January from 4.8 percent in December, while five-year inflation expectations rose to 3.1 percent from 2.9 percent. The bigger than expected drop by the headline index came as the index of consumer expectations slid to 65.9 in January from 68.3 in December. The report showed a more modest decrease by the current economic conditions index, which slipped to 73.2 in January from 74.2 in December.
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