US Consumer confidence jumped during the holiday season

US Consumer confidence, an parameter to check the confidence level among its citizens, jumped more than expected in November because of lower pessimism about the economic and job outlook. The Conference Board-s index, a parameter to judge the consumer confidence level, jumped to 56 in November compared to just 40.9 in the previous month of October. This was the biggest monthly gain since April 2003 which shows improving economic condition.

Consumer spending depends on the consumer confidence level and it accounts for about 70% of the US economic activity. Higher consumer confidence is expected to boost consumer spending and GDP as well during the current quarter. Also US has witnessed record sales during the festive season which also confirms increased consumer confidence in spite of dismal job market outlook.