Consumer Confidence Rises to Four-Year High

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.S. consumer confidence jumped in January to the highest level in almost four years, the Conference Board said Tuesday.

The group’s index of consumer confidence for the month rose to 103.6 from a revised 103.8 in December, which had been originally reported at 103.6.

The gauge, the highest since June 2002, exceeded economists’ prediction of a 105 reading, Bloomberg reported.

The consumer confidence index is a predictor of consumer spending. When people are feeling less confident about the economy, they are less likely to spend money, which decreases demand for trucking services.

The index’s level was at 105.5 in August, before Hurricanes Katrina and Rita hit, and it has averaged 97.5 over the past five years.

The percentage of those who said jobs were hard to get fell to 20.3% from 22.5% last month. Those who said jobs were plentiful rose to 26.9% from 23.3%.

Every month the Conference Board surveys 5,000 households on general economic conditions, their employment prospects and spending plans.