US consumer confidence jumps to 7-month high

NEW YORK (AP) — U.S. consumer confidence jumped this month to the highest level since February, bolstered by a brighter hiring outlook.

The Conference Board said today that its Consumer Confidence Index rose to 70.3. That's up from 61.3 in August, which was revised higher. And it's the highest reading since February, when the economy added 259,000 jobs.

The indicator is watched closely because consumer spending drives nearly 70 percent of economic activity. The reading is still below 90, a level that indicates a healthy economy. Since the beginning of the year, the index has fluctuated sharply.

The survey was conducted from Sept. 1 through Sept. 13. It showed consumers were more optimistic about the current availability of jobs and their outlook over the next six months.

Their confidence in the job market is higher, even though employers added just 96,000 jobs in August. That's down from 141,000 in July and too few to keep up with population growth.

The unemployment rate fell to 8.1 percent from 8.3 percent, but only because many people gave up their job search, so they were no longer counted as unemployed.

A measure of how consumers feel now about the economy rose to 50.2, up from 46.5 last month. And they are even more optimistic about the next six months.