A key gauge of US consumer confidence showed faltering confidence in February as consumer optimism dropped moderately on the month.
However, US consumers still remain upbeat about the strength of the economy, according to The Conference Board's latest research.
The Board said its closely-tracked consumer confidence index dipped to 104 in February from a revised 105.1 reading in January.
However, January's reading was revised higher from a preliminary reading of 103.4, and the decline in February was not as bad as many on Wall Street had feared.
'Although expectations cooled this month, consumers are more optimistic today than they were a year ago,' said Lynn Franco, the director of The Conference Board's Consumer Research Centre.
'Just as important, consumer confidence about current economic conditions, including the labour market, continues to gather momentum,' Franco said.
The present situation index registered a rise to 116.4 in February from 112.1 last month, marking its highest reading since September 2001. The Expectations Index, however, declined to 95.7 from 100.4 in January.
'Despite recent fluctuations, both present and future indicators point toward continued expansion in the months ahead,' Franco said.
Consumers believe their fortunes are poised to improve, according to the survey which showed that consumers feel the employment picture brightened this month.
The monthly survey takes the pulse of 5,000 American households on their economic wellbeing.
