Consumer spending surged in April by the largest amount in more than six years, led by a big jump in purchases of autos and other durable goods.
The Commerce Department says consumer spending increased 1 percent last month after a flat reading in March. Incomes rose a solid 0.4 percent, matching the March gain. Wages and salaries, the most important component of incomes, gained 0.5 percent.
The strong April gain for consumer spending, which accounts for 70 percent of economic activity, is a good sign that the economy is doing a lot better in the current quarter after nearly stalling out at the start of the year. Many economists believe the economy is growing at a 2.5 percent rate, outpacing the 0.8 percent gain in the first quarter.
The Associated Press contributed to this article.
Occam's Razor says
The corrupt public servant’s perpetrating Agenda 21/30 and zionism and Israel gave money to the illegal aliens and the Arabs Israel kicked out of the Middle East and shipped to the US in their now failed and feeble attempt to establish “greater Israel”, is-wrong, plus they paid themselves bonuses, follow the money trail, it always leads back to Israel. Illegal aliens and Israel? Yes, Israel is trying to take over California and enslave the Latin population, plummet real estate prices via engineered droughts and by breaking the California economy with illegals, rigged elections, and oppression. Why? Israel needs a new home. The CIA states Israel won’t be around in 20-years. Brown, Boxer, Feinstein, all Israel firsters trying to help steal California for Israel; “Mr. and Mr’s America, …turn ‘m all in”.
Israel, Not In America’s Name, 2016!
Arthur Hartsock says
What in hell does this rant have to do with the above article. You just wanted some attention?!!
Justin W says
I’m glad to hear things are improving. Some news sources have already begun to report that we are slipping into a recession.
Arthur Hartsock says
For me personally things have improved slightly. I wasn’t able to work and was placed on disability. Now after serious rehab and many exercises I have started a part time job that I can physically handle. Small win for me.
The Texan says
Foreign oil prices have been artificially suppressed leading to lower prices at the gas pump. This has left more money available for people to spend on consumer goods. In the short term that may seem like a good thing. But it has also had other side affects. It costs $20 a barrel to pump the oil out of the ground plus administrative costs. This has forced a number of small independent, domestic producers to shut down operations and lay off workers. But this is likely a temporary situation. After the November elections we can expect the price of foreign oil to previouse high levels.