An early gauge of consumer sentiment soared in December to its highest level in nearly two years, a sign of confidence in the economy in the wake of the election of Donald Trump following a bruising campaign.
Continue Reading Below
The University of Michigan said Friday its preliminary reading of consumer sentiment rose to 98.0 in December, from November's final reading of 93.8. It is up 5.8% from December 2015.
Many consumers surveyed volunteered their hopes for "the expected positive impact of new economic policies," said Richard Curtin, the survey's chief economist. "No group has adopted a pessimistic outlook for the economy."
Economists surveyed by The Wall Street Journal had expected a December reading of 94.8.
The jump in optimism reflects a dramatic turnaround from consumers' attitudes in October, when sentiment had matched a two-year low.
The forward-looking index of consumer expectations is up 7.5% from December a year ago, and the index reflecting sentiment on current economic conditions rose 3.7% from December last year.
Write to Anna Louie Sussman at firstname.lastname@example.org