The final reading for the April Reuters/Michigan index of consumer sentiment came in at 88.3 compared to a preliminary reading of 86.5 and the March final reading of 84.9. This was the highest reading since March 2020.

Economists had forecast the index to be revised to 87.4.

According to the report, the index of consumer expectations rose 3.8 percent m-o-m to 82.7 from March’s final reading of 79.7, while the index of the current economic conditions climbed 4.5 percent m-o-m to 97.2 from March’s final reading of 93.0.

“The April survey recorded continued gains in consumer confidence due to a growing sense that the upward momentum in jobs and incomes will persist,” noted Richard Curtin, the Surveys of Consumers chief economist. “The renewed confidence is due to record federal stimulus spending, both recently passed and proposed, as well as the positive impact from a growing share of the population who are vaccinated. The largest and most important change in April was that an all-time record number of consumers expected declines in the unemployment rate during the year ahead.”