Economics
US Personal Spending Is Revised Sharply Lower in First-Quarter Data
- Outlays rose an annualized 1.8%, down from 3.1% prior estimate
- Latest GDP figures also showed bigger build in inventories
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US consumer spending expanded in the first quarter at the softest pace of the pandemic recovery, marking a surprise sharp downward revision that suggests an economy on weaker footing than previously thought.
Outlays on goods and services rose an annualized 1.8%, compared with a 3.1% pace in the previous estimate, according to Commerce Department data out Wednesday. Overall gross domestic product was revised down slightly to a 1.6% annualized decline in the first quarter.