The latest Rasmussen Reports tracking poll finds that 43% of Americans now say the U.S. and its allies are winning the War on Terror. That’s up from 39% a month ago and is the highest level of optimism registered in nearly a year.

The national telephone survey found that 30% now believe the terrorists are winning. That’s up two points from a month ago but down two from the month before.

While the current readings indicate the highest level of optimism in 2007, some context is required. This year has seen by far the lowest level of optimism concerning the War on Terror yet recorded. An average of all surveys conducted this year found that just 34% believed the U.S. and its allies are winning. That’s down from 40% in 2006 and 45% in 2007. During election 2004, more than 50% routinely believed that the U.S. and its allies were winning.

Another way of seeing the long-term trend is that this is just the second time in 2007 that optimism has reached the 40% mark. Last year, most of the surveys conducted found that at least 40% believed the U.S. and its allies were winning. In 2006, confidence that the War on Terror was going well fell below 40% just twice.

It remains to be seen whether the current increase in confidence is a temporary spike or a lasting change.

A separate survey found that 45% of voters trust Republicans more than Democrats on national security issues while 41% have the opposite view. That’s the only issue where the GOP currently has an advantage.

Recent media reports have indicated substantially lower number of civilian deaths from violence in Iraq over the past two months, attributed in part to changes in U.S. military strategy. But that hasn’t generated more optimism about prospects for success in Iraq.

Only 29% expect the situation in Iraq to improve over the next six months. Last month, not long after General Petraeus's report to Congress, 30% of likely voters said they expected the situation to improve.

Thirty-nine percent (39%) think things will get worse over the next several months. That’s down from 43% a month ago and 47% two months ago.

Just 35% believe the American mission in Iraq will ultimately be judged a success and 49% say the history books will judge the long engagement a failure. These figures also show a slight decline in pessimism. Last month, 50% thought the mission would ultimately be judged a failure. Two months ago, 57% were that pessimistic.

Most Americans continue to want American troops out of Iraq within a year.

Half of all voters (50%) give President Bush failing grades on Iraq and rate his performance as Poor. Only 30% say he has done a Good (20%) or Excellent (10%) job in Iraq. Eighteen percent (18%) offer an in-between assessment and say he is doing a Fair job.

The same percentage as last month, 41%, say the U.S. is safer than it was before 9/11.

Partisan assessments of U.S. foreign policy success remain sharply divided. Fifty-five percent (55%) of Republicans are optimistic about the short-term in Iraq, versus just 10% of Democrats. On the long-term prospects, 62% of Republicans expect success, 73% of Democrats expect failure. Unaffiliated voters also tend to be pessimistic about the long-term, with 33% optimistic, 48% pessimistic.

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