'It's only halftime, America'

Confidence among U.S. consumers rose more than forecast in February, reaching a one-year high as Americans grew more upbeat about the outlook for the economy. 

The Thomson Reuters/University of Michigan final index of consumer sentiment increased to 75.3 this month from 75 in January. The median estimate in a Bloomberg News survey called for 73, after a preliminary reading of 72.5. New-home sales last month were stronger than projected, another report showed.

Three straight months of faster job growth along with a stock market rally since late 2011 are helping keep Americans optimistic in the face of rising gasoline prices. Further gains in confidence may sustain the household spending that accounts for about 70 percent of the economy.

“The overwhelming fact is that the job market has gotten better,” said Bill Cheney, chief economist for John Hancock Financial Services Inc. in Boston, who projected a gain. “People are back to spending most of the additional income that they get, so as employment increases and you get some meager increases in wages, they do feed through to more spending.”