U.S. Consumer Sentiment Improves More Than Previously Estimated In April

(RTTNews) - Consumer sentiment in the U.S. improved by even more than previously estimated in the month of April, according to a report released by Thomson Reuters and the University of Michigan on Friday, with the consumer sentiment index reaching a nine-month high.

The report showed that the final reading on the consumer sentiment index for April came in at 84.1 compared to the preliminary estimate of 82.6.

The upwardly revised reading reflects a notable increase from the final March reading of 80.0 and is well above economist estimates for a reading of 83.0.

With the bigger than expected upward revision, Reuters said the consumer sentiment index reached its highest level since last July.

"Perhaps the more important question is whether consumer confidence will show greater resistance to the backslides that have repeatedly occurred in the past few years," survey director Richard Curtin said, according to Reuters.

"Resilience is dependent on positive long term economic expectations," he added. "While near term expectations have improved substantially, longer term expectations for personal finances as well as the overall economy have not improved as much."

The report showed that the barometer of current economic conditions in April was upwardly revised to 98.7 from the preliminary reading of 97.1.

The reading on current conditions is at its highest level since July of 2007, well above the 95.7 seen in March.

Additionally, the gauge of consumer expectations came in at a revised 74.7 in April compared to 70.0 in March and the preliminary reading of 73.3.

Reuters said inflation expectations were unchanged from the previous month, with the one-year outlook at 3.2 percent and the five-to-ten-year outlook at 2.9 percent.