With higher prices for gasoline factored out, spending rose a more modest 0.3 percent. Meanwhile, personal income rose a healthy 1.1 percent.

The S&P joins the Dow Jones Industrial Average, which broke its 2007 record earlier this month. Both indices have now recovered all the losses they suffered during the Great Recession.

The housing sector's recovery continues. Prices were up more than 7 percent in major cities.

February's jobs numbers were better than expected. The jobless rate is now the lowest it's been since President Obama took office. The rate's recent peak was 10 percent in October 2009.