U.S. Consumer Spending Gain Lags Behind Income for Second Month
U.S. Income Gain Outpaces Spending in February
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Consumer spending lagged behind income growth for a second month in February, showing American households were taking a breather after a late-2017 surge. Inflation, meanwhile, ticked up.
Purchases, which account for about 70 percent of the economy, rose 0.2 percent after a similar advance at the start of the year, Commerce Department figures showed Thursday. Incomes grew 0.4 percent for a third month. The Federal Reserve’s preferred measure of inflation climbed 1.8 percent from February 2017, the most in nearly a year.