Mubasher: The University of Michigan's revised data indicated that the US consumer confidence improved in late December as US citizens were more positive about economic conditions, which boosted outlook for consumer spending.

The consumer sentiment index rose to 98.3 points in the second half of December from 97.5 in the prior month, a survey report by Michigan University said on Friday.

“Consumer confidence remained in December at the same record favorable levels as it has throughout the year,” survey chief economist Richard Curtin commented.

“While the plunge in stock prices has recently garnered the most attention in the national press, consumers have focused more on their concerns about income and job prospects,” Curtin added.

This indicated that consumer spending, which accounts for the largest part of the US economy, is set to continue to contribute to this quarter’s growth.

As for current economic conditions, the index jumped 3.4% month-on-month to 116.3 points in December, hitting a six-month high, with a rise of 2% from the reading for the same month last year.

However, the expectation index dipped to 87 points in December from 88.1 in the previous month.

By 3:24 pm GMT, the US dollar index rose 0.46% to 96.7150.