US consumer confidence jumps to five-year high
Washington - US consumer confidence surged in May to its highest level in five years as a monthly survey found improved near-term expectations for the economy, the New York-based Conference Board said Tuesday.
The index rose to 76.2 in May from a revised 69 in April, the private research group said. The reading was the highest since February 2008 for the world's largest economy.
The long-running survey of consumers found the biggest jump in optimism for the next six months, with 19.2 per cent of respondents expecting business conditions to improve in the short term, up from 17.2 per cent in April. Consumers expecting business conditions to worsen in the next six months fell to 12.1 per cent from 14.8 per cent.
The survey of about 3,000 consumers, conducted monthly since 1967, was based on responses collected through May 15.
The jump in consumer sentiment follows the decline in US unemployment in April to 7.5 per cent, down 0.4 percentage points since January and the lowest rate since December 2008.
The slow but steady decline in the jobless rate, which was 8.1 per cent in May 2012, has come despite the "fiscal cliff" crisis in December, when Congress went to the end of the year before averting a huge income-tax increase, which was predicted to throw the economy into recession if it had taken effect.//DPA
