US consumer confidence edges higher in February, University of Michigan says

Americans grew a tad more confident towards the middle of February, the results of a very closely followed survey revealed.

The University of Michigan's consumer confidence index rose from a reading of 64.9 in January to 66.4 for mid-February.

Consensus had been for a reading of 65.1.

However, Joanne Jsu, the survey's director, described attitudes among consumers as "mixed" and short-term inflation expectations rose.

"Overall, high prices continue to weigh on consumers despite the recent moderation in inflation, and sentiment remains more than 22% below its historical average since 1978," Hsu said.

"Combined with concerns over rising unemployment on the horizon, consumers are poised to exercise greater caution with their spending in the months ahead."

A sub-index linked to perceptions of current economic conditions improved from 68.4 to 72.6, while that tracking expectations dipped from 62.7 to 62.3.

Expectations for inflation one year ahead meanwhile rebounded from 3.9% in January to 4.2%.

In December they had stood at 4.4%.

Looking out to the long-run, inflation expectations were unchanged at 2.9% for a third consecutive month and within the narrow 2-9-3.1% range seen over 18 of the last 19 months.

"Uncertainty over short-run inflation expectations ticked up recently and continues to be notably elevated, indicating the potential for continued volatility in expected year-ahead inflation," Hsu added.

"In contrast, uncertainty over long-run inflation receded in recent months, though the uncertainty stands well above averages over the last 20 years."