WASHINGTON (AP) — Americans are more confident about the economy than at any time since July 2007, a survey found, suggesting consumers will spend more and accelerate growth in the months ahead.
The University of Michigan says its final reading of consumer sentiment in July was 85.1. That's up one point from June but nearly 13 points higher than a year ago.
Rising home prices and steady job gains are boosting household wealth and income. The proportion of Americans who expect their inflation-adjusted incomes to rise in coming year is greater than at any time since late 2007, the survey found. And the percentage of Americans who expect their home values to rise is also at a six-year high.
Consumer confidence is closely watched because their spending accounts for 70 percent of growth.