Consumer sentiment in the U.S. reached the highest level in three years during February as the Americans’ spending appears poised to give a boost to the strengthening economic recovery, according to Reuters. On Tuesday, the Conference Board reported that the index of consumer confidence jumped to 70.4 in February from a revised level of 64.8 the month before, marking the highest level since February 2008. The figure outpaced economists’ forecast for a move to 65 after January was seen at 60.6 originally.
The expectations index rose to 95.1 from 87.3 previously to reach the highest point since December 2006, although inflation expectations were at the highest in more than a year and a half. The present situation index was up more than two points to 33.4. Meanwhile, Standard & Poor’s/Case Shiller index of metro area home prices added 0.4% in December, which marked a 3.9% decline from the previous quarter and 4.1% off from one year earlier.