U.S. consumer sentiment rose in early September to the strongest in three months with growing expectations the economy will improve, a survey showed on Friday.

The Reuters/University of Michigan Surveys of Consumers said its preliminary index of sentiment for September rose to 70.2, the highest since June, from 65.7 in August. This was above economists' median expectation of a reading of 67.3, according to a Reuters poll.

The index of consumer expectations climbed to 69.2 in early September, up from 65.0 in August.

Confidence rebounded in early September as consumers increasingly expected the economy to improve despite their reluctant conclusion that their own financial situation would remain quite problematic for some time, the Reuters/University of Michigan Surveys of Consumers said in a statement.

Within the survey, the 12-month economic outlook index rose to 79, the highest since September 2007, from 69 in August. The 1-year inflation expectation eased to 2.6, the lowest since March, and down from 2.8 in August.

The index of consumer expectations rose to 69.2 in early September from 65.0 in August.

(Reporting by Chris Reese: Editing by Andrew Hay)

Inflation