US consumer confidence up for first time in 2013

WASHINGTON: Confidence among American consumers rose last week for the first time this year, a sign the strain on households from a higher payroll tax is easing. The Bloomberg Consumer Comfort Index climbed to minus 36.3 in the period ended February 3 from minus 37.5, which was the weakest since early October.

The gain, reflecting advances by all three of the measure’s components , was the first in five weeks and within the margin of error of 3 percentage points.

A strengthening job market and higher stock prices are bolstering confidence after households absorbed a two percentage-point increase in the levy that funds Social Security.

At the same time, climbing gasoline costs may prevent consumers from building on a fourth-quarter pickup in spending that helped offset a plunge in military outlays.