Economics
U.S. Consumer Spending Plunges While Stimulus Boosts Incomes
- Outlays plummeted in April by most on record amid pandemic
- Payments under CARES Act help consumers weather situation
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U.S. consumer spending plunged in April by the most on record as widespread government lockdowns largely prevented Americans from spending federal stimulus payments in the month.
Household outlays fell 13.6% from the prior month, the sharpest drop in more than six decades worth of data, a Commerce Department report showed Friday. The median estimate in a Bloomberg survey of economists called for a 12.8% decline.