The consumer confidence index, which showed considerable improvement in April, posted another large gain in May, jumping to 54.9 from an upwardly revised 40.8 the previous month, the Conference Board reported yesterday.
The April index was initially reported as 39.2.
Economists surveyed by Thomson Reuters had predicted a rise to 42.0.
The present situation index grew to 28.9 from an upwardly revised 25.5, while the expectations index surged to 72.3 from an upwardly revised 51.0 last month.
“After two months of significant improvements, the consumer confidence index is now at its highest level in eight months,” said Lynn Franco, director of the Conference Board’s Consumer Research Center. “Continued gains in the present situation index indicate that current conditions have moderately improved, and growth in the second quarter is likely to be less negative than in the first.”