WASHINGTON — U.S. consumers increased their spending moderately in July, as wages and salaries made their biggest jump in eight months.
Spending rose 0.3 percent in July, helped by purchases of big-ticket items such as cars, the Commerce Department reported Friday. June's result was revised up to a matching 0.3 percent gain.
Incomes increased 0.4 percent in July. The key category of wages and salaries rose 0.5 percent, the biggest advance since last November.
The report suggests that consumer spending, which accounts for 70 percent of economic activity, got off to a good start in the third quarter as strong momentum from the second quarter rolled into July.
See Saturday's Arkansas Democrat-Gazette for full coverage.