Consumer confidence rose in May to the highest level in almost six years as a rising stock market and property values helped lift Americans’ outlook on the economy.
The Thomson Reuters/University of Michigan final index of sentiment increased to 84.5 in May, the strongest since July 2007, from 76.4 a month earlier. The median forecast in a Bloomberg survey called for the gauge to hold at its preliminary reading of 83.7.
The increase in personal wealth from higher real-estate values and stock prices that’s bolstering sentiment may help keep consumer spending from faltering after a decline in April. Household finances also helping blunt the effect of higher payroll taxes and federal budget cuts that threaten to limit hiring.
via Bloomberg
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Alfonso Esparza
trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
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