US consumer sentiment unexpectedly rose to 79.4 in March, its highest level in nearly three years.

US consumer sentiment unexpectedly rose in March to its highest level in nearly three years, reaching 79.4, up from February's 76.9. The improvement was driven by increasing consumer confidence that inflation will continue to soften. The University of Michigan's Consumer Sentiment Index also topped consensus estimates of 76.5, with expectations for inflation easing to 2.8% over a five-year horizon from 2.9% the previous month.