Consumer Confidence Improves in May

Consumer confidence improved in May, according to the Thomson Reuters/University of Michigan consumer sentiment index released Friday.

The preliminary index for the month rose to a reading of 72.4, from 69.8 in April, the survey said.

The reading topped economists’ median forecast of a 70 reading, Bloomberg reported.

The index averaged a reading of 89 in the five years leading up to the recession at the end of 2007.

An improvement in confidence may increase consumer spending, which accounts for 70% of the economy.