U.S. Consumer Confidence Highest in Almost Five Years
In November, Consumer Confidence in the U.S. rose to its highest level in almost five years.
The Conference Board annouced Tuesday that the consumer confidence index rose by .6 to 73.7. This is the best reading since February 2008, but it is still below the level of 90, a number consistent with a healthy economy.
Higher consumer confidence could lead to a more robust holiday shopping season and eventually stronger economic growth. Seventy percent of economic activity is driven by consumer spending.
A separate survey the University of Michigan released last week also showed consumer sentiment at it highest in five years.
As the job market improves, Americans are growing more optimistic. According to the Conference Board, employers added 171,000 jobs last month.
Around 2,500 households were surveyed in the first two weeks of November. Those surveyed answered how they felt about the current economy and job market, where they see the two going in six months and if they would take a vacation or make a major purchase in the next six months.
The Coference Board found that most people didn't see a difference in current conditions, but 20.3 percent Americans expect more jobs to be available in the next six months compared to 19.7 percent in October.
More Americans said jobs are "plentiful" and planned to buy a home, appliance or take a vacation. Confidence among the poorest households jumped while confidence among households making $50,000 or more slipped.
