According to recent data released by Thomson Reuters in conjunction with the University of Michigan, consumer confidence rose in August, which may indicate potential changes in the housing landscape.
The Survey of Consumer Confidence Sentiment rose to an index of 79.2 last month from 74.3 in July. The jump was unexpected, according to economists polled by Bloomberg, who predicted by the reading to drop to 74.
Bloomberg estimates that the increase in sentiment levels can be traced to rising share prices and home values. As the housing market continues to improve, consumers' spirits are buoyed.
Moreover, the rental market is still booming. Although this means that many consumers have likely been scouring Craigslist rental postings for potential apartments, it also means that at least one part of the economy is doing well.
The source further reports that expectations of future monthly consumer expectation levels has risen sharply, jumping from 65.1 in August to 73.4, the highest number recorded since May.
A similar survey, released by Chase, shows that consumers confidence is growing due to personal finance, which leads many to believe that the national economy is on an upswing.