US consumer sentiment rises to highest level since 2004

26 December, 2016 12:00 AM printer

Americans are more confident in the economy than at any point in nearly 13 years, according to a closely followed survey that showed high expectations for growth during the new Trump administration, reports Wall Street Journal.

The University of Michigan said Friday its monthly index of consumer sentiment rose 4.7 points from a month earlier to a reading of 98.2 in December, reaching the highest level since January 2004. A measure of consumer views on the current state of the economy rose healthily while a measure of their expectations for growth in the future climbed even more quickly.

Economists surveyed by The Wall Street Journal expected a reading of 98.7 this month.

Richard Curtin, the survey’s chief economist, said an unusually high number of consumers reported high expectations for the policies of President-elect Donald Trump compared with consumer expectations of previous incoming presidents.

Trump, a Republican, has pledged to reduce regulations on businesses and toughen the nation’s trade stance against foreign countries such as China to give domestic companies a stronger edge in the global marketplace.