March Consumer Spending Above Pre-Recession Levels

May 2, 2010  by in UnCategorized   

By Home Furnishings Business in economic news on May 3, 2010

Consumer spending increased 0.5 percent in March to pass the pre-recession peak of November 2007, according to U.S. Commerce Department estimates on Monday.

After-tax, inflation-adjusted incomes, however, increased just 0.2 percent during the month, with transfer payments such as unemployment benefits accounting for much of the gain, which could hamper the economic recovery.

The March personal savings rate fell to 2.7 percent, the lowest since September 2008.