Consumer Confidence in Economy Hits New High
WASHINGTON -- With unemployment continuing to fall and the economic boom nearing a record as the longest in U.S. history, consumers began the new year with confidence in the economy soaring to an all-time high.</br></br>The Conference Board's monthly index measuring the economic outlook of U.S. households jumped three points in January, to 144.7 from 141.7 in December, and now stands at the highest level in the survey's 32-year history. The increase is the fourth straight monthly rise for the index, which has more than recovered from a slump in the summer and fall.</br></br>"This is an astonishingly strong report," Ian Shepherdson, chief U.S. economist for High Frequency Economics in Valhalla, N.Y., told his clients.</br></br>The survey, considered a good predictor of consumer demand, offers further evidence that consumer spending is likely to remain strong into the immediate future. With jobs remaining plentiful, economists said consumers weren't fazed by recent stock-market volatility, rising mortgage rates or surging energy prices.</br></br>"An expanding global economy and a robust job market suggest that consumer optimism and consumer spending could rise even further," said Lynn Franco, the economist who oversees the survey of 5,000 households for the New York-based private research firm.