U.S. Consumer Spending Cools on Drop in Vehicle Purchases
Potential car buyers view a vehicle at a dealership in Los Angeles, California.
Photographer: Patrick T. Fallon/BloombergThis article is for subscribers only.
U.S. consumer spending cooled in August on a cutback in auto purchases that partly reflected less demand linked to Hurricane Harvey, Commerce Department figures showed Friday.
The latest results indicate household spending, which accounts for about 70 percent of the economy, may struggle to match the momentum of the second quarter. Inflation-adjusted income, after taxes, dropped 0.1 percent in August, the first decrease this year.