The University of Michigan's preliminary consumer sentiment index, rose to 90.3 in July from a final reading of 89.7 in June.

Economic Cycle Research Institute, a private forecasting group, said its weekly leading index rose to 126.8 in the week ended July 11, from a revised 124.9 the prior week.

Rising home buying and increased money supply contributed.

An ABC/Money poll says that confidence has leveled off after a four-point slide since mid-June.

Twenty-eight percent of Americans rate the nation's economy as excellent or good, up modestly from 27 percent the previous week.

Lingering pessimism about the economy, however, persists; 30 percent of respondents rated the economy as poor, the same as last week.

The lowest level of confidence in this category was set at 7 percent in late 1991 and early 1992.