WASHINGTON—A gauge of U.S. consumer confidence climbed to its highest level of the year in June, suggesting that household spending will remain a key support of the economy.
The Conference Board’s consumer-confidence index rose to 98.0 in June from 92.4 in May, the group said Tuesday. That was the best reading since October 2015.
Economists surveyed by The Wall Street Journal had expected a May reading of 93.6.
“Overall, consumers remain cautiously optimistic about economic growth in the short-term,” said Lynn Franco, the group’s director of economic indicators.
The Conference Board conducted the survey before the United Kingdom voted to leave the European Union, a decision that rattled markets around the world and could weigh on the U.S. economy in the coming months and years.
“As concerns about the potential fallout from the recent Brexit decision continue to play out, we expect this index to fall back down to earth,” said Millan Mulraine, deputy chief U.S. macro strategist at TD Securities.
American consumers have consistently been the biggest driver of economic growth in the U.S., though household spending slowed in the opening months of the year and confidence readings have wobbled amid signs of a labor-market slowdown and some uncertainty about the economic outlook.