Consumers were noticeably more confident with the start of the New Year.
The Consumer Confidence Index jumped to 102.9 from 93.1 last month. Both components of the Index showed gains. The Present Situation Index rose to 112.6 from 99.9, while the Expectations Index increased to 96.4 from 88.5.
Lynn Franco, director of economic indicators at the Conference Board, said that consumer confidence is now at its “highest level since August 2007” when the Index was at 105.6.
“A more positive assessment of current business and labor market conditions contributed to the improvement in consumers’ view of the present situation. Consumers also expressed a considerably higher degree of optimism regarding the short-term outlook for the economy and labor market, as well as their earnings,” Franco said.
Those who said jobs are “plentiful” rose to 20.5 percent from 17.2 percent, while those who anticipate more jobs in the months ahead increased to 16.7 percent from 14.6 percent.