Consumer Confidence Soars

Sentiment reading increased to 54.1 in August, well above economists' expectations.

A key measure of consumer confidence jumped much more than predicted in August, as the job market outlook and business expectations improved, said a report released Tuesday.

The Conference Board, a New York-based business research group, said Tuesday that its Consumer Confidence Index rose to 54.1 in August from an upwardly-revised 47.4 in July.

Economists were expecting the index to increase to 48, according to a Briefing.com consensus survey.

The measure is closely watched because consumer spending makes up two-thirds of the nation's economic activity.

(CNNMoney.com)