U.S. consumer confidence shot to its highest in more than 15 years in December as Americans saw more strength ahead in business conditions, stock prices, and the job market following the election of Donald Trump as president in November, Reuters reported.
House prices continued their steady recovery in October, although a spike in borrowing costs after Trump’s Nov. 8 victory could present a headwind to sustained home value gains.
The Conference Board said on Tuesday its Consumer Confidence Index rose to 113.7 this month from an upwardly revised 109.4 in November. That topped estimates in a Reuters poll for a reading of 109.0 and was the highest since August 2001.
The gain in confidence was entirely due to rising expectations as consumers’ assessments of current conditions dipped and was led by surging optimism among older Americans, Lynn Franco, director of economic indicators at The Conference Board, said in a statement. The private economic forecasting group’s Expectations Index hit its highest since December 2003.