Investing.com - Confidence among U.S consumers rose to the highest level since November 2000 in February, according to data released on Tuesday.
The Conference Board's index of consumer confidence rose to 130.8, compared to a reading of 126.2 forecast by economists.
The reading for the previous month was revised down to 124.3 from 125.4 previously.
The present situation sub-index rose to 162.4 from 155.3 in January, while the expectations sub-index rose to 109.7 from 105.5 previously.
The index looks at U.S. consumer’s views of current economic conditions and their expectations for the next six months. The index is closely watched by economists because consumer spending accounts for about 70% of U.S. economic activity.
“Consumers’ assessment of current conditions was more favorable this month, with the labor force the main driver. Despite the recent stock market volatility, consumers expressed greater optimism about short-term prospects for business and labor market conditions, as well as their financial prospects," said Lynn Franco, Director of Economic Indicators at the Conference Board.
"Overall, consumers remain quite confident that the economy will continue expanding at a strong pace in the months ahead.”