US Consumer Spending Rises Despite Accelerating Inflation and Falling Real Incomes
मुख्य बातें
- •US consumer spending rose 0.8% in April in nominal terms, but real spending increased only 0.1% after adjusting for inflation.
- •Inflation-adjusted disposable income fell 0.5% in April, the third straight monthly decline.
- •The personal saving rate dropped to 2.6%, the lowest since 2022.
- •Inflation accelerated to 3.4% year-on-year in April, up from 3.3% in March.
Consumer spending in the United States edged up in April, data released on Friday showed, but the gain came as Americans faced accelerating inflation and shrinking purchasing power. The rise in outlays was modest, underscoring how households are increasingly stretched despite a still-resilient labour market.
According to the latest figures, inflation-adjusted disposable income fell 0.5% last month, marking the third consecutive monthly decline. At the same time, the personal saving rate dropped to 2.6%, the lowest level since 2022, signalling that families are dipping into savings or relying more on credit to maintain their spending levels.
The data, drawn from the Bureau of Economic Analysis, comes as the Federal Reserve continues its battle to bring inflation down from four-decade highs. Consumer prices rose 3.4% in April from a year earlier, up from 3.3% in March, keeping pressure on household budgets.
