Consumer confidence rose to the highest level in five months, according to the Thomson Reuters/University of Michigan consumer sentiment index released Dec. 6.
The month’s preliminary index rose to 82.5, the highest since July, from 75.1 in November.
“We have seen consumer confidence generally moving higher for upper-income households, but we also are seeing gains among most households because of the improving labor market,” Dean Maki, chief U.S. economist at Barclays, told Bloomberg News. “That’s the factor that’s pushing confidence up.”
The recent gains in employment and stock portfolios are supporting confidence as concerns ease that gridlock in Washington will harm the economy, Bloomberg reported.