
US consumer spending up 0.6 per cent, best in 5 months
WASHINGTON — Americans boosted their spending by 0.6 per cent in April, the biggest increase in five months and a strong indication that the economy is reviving after a winter slowdown.
The Commerce Department said Thursday that last month’s increase in consumer spending was the largest increase since a 0.7 per cent rise last November.
The better-than-expected April gain, which followed a strong 0.5 per cent March increase, caused some economists to boost expectations for economic growth, as measured by the gross domestic product, in the April-June quarter.
“The first two months of the year were downers on the consumer spending front, but spending came back to life in March and April despite rising gasoline pump prices,” said Chris G. Christopher Jr., senior economist at IHS Market.