U.S. consumer spending rebounded in March while the Federal Reserve’s preferred underlying inflation gauge eased to a one-year low, reinforcing the central bank’s patient stance on interest rates even as the economy’s main engine holds up.
Purchases, which make up more than two-thirds of the economy, rose 0.9 percent in March from the prior month, topping estimates with the best gain in almost a decade, after a 0.1 percent February increase, according to a Commerce Department report Monday that combined two months after delays related to the government shutdown. Personal income rose 0.1 percent in March, less than forecast.
