The Conference Board Consumer Confidence Index, which had retreated in July, rebounded in August.
The index now stands at 54.1, up from 47.4 in July. The Present Situation Index increased slightly to 24.9 from 23.3 last month. The Expectations Index improved to 73.5 from 63.4 in July.
"Consumer confidence, which had posted back-to-back monthly declines, appears to be back on the mend," Lynn Franco, director of The Conference Board Consumer Research Center, said in a statement. "Consumers were more upbeat in their short-term outlook for both the economy and the job market in August, but only slightly more upbeat in their income expectations.
"And, as long as earnings continue to weigh heavily on consumers' minds, spending is likely to remain constrained," Franco added.
The Consumer Confidence Survey is based on a representative sample of 5,000 U.S. households.