US consumer spending slides
27-11-2008
US consumer spending dropped 1.0 percent in October, the steepest fall since September 2001, government data showed Wednesday in a further sign of the credit crunch hitting economic activity. The Commerce Department report showed the sharp drop in spending came even as incomes rose 0.3 percent in the month. Private economists had expected a rise in incomes of 0.1 percent and drop in spending of 0.7 percent. The report showed a dismal beginning of the fourth quarter for the US economy, which relies on consumer spending for around two-thirds of economic activity.
