Consumer confidence rose sharply in April, hitting the highest level since the pandemic began as the rapid pace of vaccinations and another round of financial support increased optimism among Americans. The Conference Board reported today that its consumer confidence index jumped to 121.7 in April, up from 109.0 in March and well above analysts’ expectations of 112.1. The Present Situation Index—based on consumers' assessment of current business and labor market conditions— surged to 139.6 from last month 110.1. The Expectations Index—based on consumers' short-term outlook for income, business, and labor market conditions increased only slightly, from 108.3 last month to 109.8 in April.
US consumer confidence jumped to 14-month high in April. Source: Bloomberg
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Many economists believe that increasing consumer confidence will accelerate economic growth as consumers, who make up 70% of economic activity, increase their spending as the Covid-19 related restrictions ease.
