VIDEO: Consumer Spending Climbs in July

U.S. consumers seem to be feeling a little more secure about spending lately– consumer spending in July climbed 0.4% on a seasonally adjusted basis, according to the Commerce Department. That’s the fastest pace in five months. Spending slightly outpaced personal income, which rose 0.3% for the third month in a row. These increases were in line with economist predictions. The personal savings rate dropped just a bit, from June’s highest-in-a-year rate of 4.3, to 4.2 in July. This rise in consumer spending, which is the biggest single growth source in the U.S. economy, followed a decrease in June, and no change in May, so it may be too soon to start declaring a new trend. For more on the latest business news, follow us on Twitter @FNNOnline, or check out our website at