US consumer confidence rebounds in December

November Conference board's consumer confidence index posted a sharp drop, and in December it rose to 96.5., above what market consensus has expected. November reading for headline index revised upwards to 92.6.

Present situation index climbed to 115.3 and expectations rose to 83.9. the renewed confidence in economy appear to be led by rebound in consumer's outlook in December for labor markets.

Labor market differential which measures the consumers share who though jobs were more less those who thought they were hard to get, climbed to -0.6 from last month. December rise keeps this metric of labor market confidence back near its September level.

"This rebound in labor-market sentiment also led consumers to increase their income expectations; net income expectations for the next six months rose to 6.6 from 5.5 in November. Despite the improvement in labor conditions, business conditions deteriorated slightly", says Barclays in a research note.