KONTAN.CO.ID -Â WASHINGTON. U.S. consumer spending increased more than expected in August, but a downward revision to July data kept intact expectations that economic growth slowed in the third quarter as a resurgence in COVID-19 infections curbed demand for services. The Commerce Department said on Friday that consumer spending, which accounts for more than two-thirds of U.S. economic activity, rebounded 0.8% in August, shrugging off declining motor vehicle sales caused by a global shortage of semiconductors, which is undercutting the production of automobiles. Data for July was revised down to show spending dipping 0.1% instead of gaining 0.3% as previously reported. Economists polled by Reuters had forecast consumer spending increasing 0.6% in August. Spending was likely boosted by back-to-school shopping and child tax credit payments from the government.
U.S. consumer spending beat expectations in August; inflation rises
KONTAN.CO.ID -Â WASHINGTON. U.S. consumer spending increased more than expected in August, but a downward revision to July data kept intact expectations that economic growth slowed in the third quarter as a resurgence in COVID-19 infections curbed demand for services. The Commerce Department said on Friday that consumer spending, which accounts for more than two-thirds of U.S. economic activity, rebounded 0.8% in August, shrugging off declining motor vehicle sales caused by a global shortage of semiconductors, which is undercutting the production of automobiles. Data for July was revised down to show spending dipping 0.1% instead of gaining 0.3% as previously reported. Economists polled by Reuters had forecast consumer spending increasing 0.6% in August. Spending was likely boosted by back-to-school shopping and child tax credit payments from the government.