Survey: Consumers More Confident As Holidays Approach

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onsumer confidence rose in October as the labor market showed signs of picking up, the Conference Board said Tuesday.

"A more favorable job market was a major factor in the turnaround. And, the belief that this trend will continue has boosted expectations. With the holiday season around the corner, this improvement in consumers’ spirits is a good omen for upcoming retail sales," said Lynn Franco, director of board's Consumer Research Center.

The board's consumer confidence index rose to 81.1 from a revised 77 in September. Economists had forecast a reading of 79.3, Bloomberg reported.

The index measuring sentiment about the current economy rose for the first time in six months, to 66.8 from 59.7. The percentage of people saying jobs are hard to get fell to 33.8% from 35.1%.

In addition, the proportion of people in the survey who said business conditions were good rose to 17.2% from 16.2%, while the share who saw business conditions as bad fell to 28.4% from 29.5%.

The consumer confidence index was derived from responses received through Oct. 21 to a survey mailed to 5,000 households in a consumer research panel.