Consumer spending outpaced income growth in July
Published: August 30, 2010
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MarketWatch.com reported Monday that consumer spending outpaced income growth in July leading to a decline in the personal savings rate, the Commerce Department reported Aug. 30. Consumer spending rose 0.4 percent in July. Personal income rose 0.2 percent. Wall Street economists had expected a 0.3 percent increase in incomes and a 0.3 percent gain in spending. The savings rate fell to 5.9 percent from 6.2 percent in June. Real disposable incomes fell 0.1 percent in July after rising 0.1 percent in June. The personal consumption expenditure price index rose 0.2 percent in July compared with June and is up 1.5 percent in the past year.
