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Thu Jun 27, 2013, 01:09 PM

 

Consumer Spending in U.S. Rebounds as Incomes Increase

Source: Bloomberg

By Shobhana Chandra - Jun 27, 2013
Consumer spending in the U.S. rebounded in May following the largest drop in more than three years, a sign the biggest part of the economy will underpin growth this quarter.

Household purchases, which account for about 70 percent of the economy, rose 0.3 percent after a 0.3 percent decline the prior month that was the biggest since September 2009, Commerce Department figures showed today in Washington. Incomes (PITLCHNG) advanced 0.5 percent, more than projected.

The report may help ease concern about the outlook for the economic expansion after data yesterday showed household purchases rose at a slower pace than previously estimated in the first quarter. Rising home prices and an improving job market, combined with faster income gains, may help to accelerate spending in the last six months of 2013.

“Consumer spending will continue to be the driver of the recovery,” said Tom Simons, an economist at Jefferies LLC in New York, who accurately predicted the gain in purchases. “The second half looks better. The labor market is continuing to improve. The housing rebound will help as well.”

Read more: http://www.bloomberg.com/news/2013-06-27/consumer-spending-in-u-s-rebounds-as-incomes-increase.html

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Reply Consumer Spending in U.S. Rebounds as Incomes Increase (Original post)
Purveyor Jun 2013 OP
arely staircase Jun 2013 #1
Kingofalldems Jun 2013 #2
canoeist52 Jun 2013 #3
Steerpike Jun 2013 #4
Spitfire of ATJ Jun 2013 #5
BadgerKid Jun 2013 #6
silvershadow Jun 2013 #7
UrbScotty Jun 2013 #8

Response to Purveyor (Original post)

Thu Jun 27, 2013, 01:26 PM

1. good news k&r

Incomes (PITLCHNG) advanced 0.5 percent, more than projected.

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Response to Purveyor (Original post)

Thu Jun 27, 2013, 01:55 PM

2. This is communism promoted by Obama

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Response to Purveyor (Original post)

Thu Jun 27, 2013, 02:09 PM

3. Well, families can only go so far before replacing worn out appliances and underwear.

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Response to Purveyor (Original post)

Thu Jun 27, 2013, 02:39 PM

4. Hmmmmm

I wonder how this works out with 70% of americans living from Paycheck to paycheck? Does that mean the top 30% are buying more?

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Response to Purveyor (Original post)

Thu Jun 27, 2013, 02:41 PM

5. Now watch some rich idiot talk about the economy heating up and inflation.

 

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Response to Purveyor (Original post)

Thu Jun 27, 2013, 03:33 PM

6. Feels like they are trying to sell me on optimism

so that I feel like going out and spending.

Saw a similar article yesterday which opined an up to 5% GDP growth during some quarters of next year. (EDIT: How do they "know" it can be 5%? It that before of after GDP corrections?)

The window is pretty big -- you could drive a truck through it.

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Response to Purveyor (Original post)

Thu Jun 27, 2013, 03:41 PM

7. Theoretical good news for the short-term. Reality is we will have to scratch and claw our way out

 

of this, and I'm not sure we will get it done. Time will tell.

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Response to Purveyor (Original post)

Thu Jun 27, 2013, 03:45 PM

8. Impeachment NOW!! ;-)

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