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US Reports Signal Economic Rebound

VOA News
26 Mar 2002 15:25 UTC
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Government reports indicate the U.S. economy is emerging from recession as consumers feel more confident and manufacturers fill more orders. 

The Conference Board, which is a private business research group, says U.S. consumer confidence surged in March to its highest level since August. Analysts say consumer spending, which makes up a majority of U.S. economic output and typically rises with confidence, may continue to power the economy in the months ahead. 

A separate report shows the manufacturing sector, long beaten down by the recession last year, is also growing stronger. The Commerce Department says orders for so-called durable goods, which are expensive, long-lasting items, rose more than expected in February. 

Earlier Tuesday in Europe, a new survey by the Munich-based business research group Ifo showed confidence among western German business executives climbed higher this month than at any time during the past year. A separate survey showed Italian executives were the most optimistic in the past seven months. 

Companies say a recovery across Europe is likely to be fueled by stronger demand in the United States. The European Commission estimates Europe's economy, which shrank in the final three months of last year, is likely to grow again in the second quarter, after an expansion in the first. 

Some information for this report provided by Bloomberg.

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