US consumer confidence shows solid gain in January
WASHINGTON (AP) - U.S. consumer confidence showed a strong gain in January, bolstered by continued strength in the job market.
The Conference Board said Tuesday that its consumer confidence index rose to a reading of 131.6 this month, up from 128.2 in December.
Lynn Franco, senior director of economic indicators at the Conference Board, said that the increase, which followed a more moderate advance in December, reflected a more positive assessment of the current job market and increased optimism about future job prospects.
'"Optimism about the labor market should continue to support confidence in the short-term and, as a result, consumers will continue driving growth and prevent the economy slowing slowing in early 2020,'Å¥ Franco said.
The Conference Board's present situation index and its expectation index both showed gains in January.
Consumer confidence surveys are closely followed for clues about whether households are in a buying mood. Consumer spending accounts for 70% of economic activity.
The economy slowed in 2019 and is expected to slow further in 2020 but solid consumer spending is expected to keep the country out of a recession.