In this news, we discuss the U.S. consumer spending rises; income falls in October.
WASHINGTON (Reuters) – Consumer spending in the United States rose sharply in October, but momentum is expected to slow as the surge in COVID-19 infections and the loss of a weekly unemployment subsidy for millions of Americans weigh on income.
Consumer spending, which accounts for more than two-thirds of U.S. economic activity, rose 0.5% last month after rising 1.2% in September. Personal income fell 0.7%, offsetting a 0.7% gain in September. Economists polled by Reuters predicted a 0.4% increase in consumer spending and income unchanged in October.
Reporting by Lucia Mutikani
Original © Thomson Reuters