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Consumer sentiment rises in early November

Shoppers look at merchandise at a Walmart store in Secaucus, New Jersey.
Lucas Jackson | Reuters
Shoppers look at merchandise at a Walmart store in Secaucus, New Jersey.

U.S. consumer sentiment inched up in November, beating expectations, according to a report released on Friday.

The Thomson Reuters/University of Michigan's preliminary November reading on the index was 93.1. That was higher than the previous month's reading of 90 and also higher than expectations of 91.5 by Thomson Reuters.

Buying plans for large discretionary purchases improved, especially for vehicles, the report said. Personal consumption expenditures are projected to grow by 2.9 percent in 2016.

"Confidence rose in early November mainly due to a stronger outlook for the domestic economy," said Surveys of Consumers Chief Economist Richard Curtin in a statement.

"Two trends dominated the early November data: consumers anticipated somewhat larger income increases during the year ahead as well as expected a somewhat lower inflation rate. This meant that consumers held the most favorable inflation-adjusted income expectations since 2007."