Consumer Confidence Hits 16-Month High

New York, NY, Jan. 26, 2010--The U.S. consumer confidence index hit a 16-month high in January, according to a survey released Tuesday by the Conference Board.

The index rose to 55.9 in January from an upwardly revised 53.6 in December. It's the highest reading since September 2008, when the financial crisis intensified. It was the third straight increase.

The index came in better than expected by economists, who were looking for an increase to 53.5.

Nevertheless, the reading is still weak, far below the average level of 95. The index bottomed at a record-low 25.3 last February.

The improvement in January was due mainly to better feelings about the present situation. Consumer expectations also improved. Assessments of the labor market improved marginally.