Consumer Spending in U.S. Slowed in August

[titaniumsalute]

Source: Bloomberg

Consumer spending in the U.S. slowed in August as incomes unexpectedly dropped for the first time in almost two years, forcing households to use up savings.

Purchases rose 0.2 percent after a 0.7 percent increase the prior month, Commerce Department figures showed today in Washington. A 0.2 percent advance in prices wiped out the gain in so-called nominal, or unadjusted, spending. Incomes decreased 0.1 percent, the first decline since October 2009.


Read more: http://www.bloomberg.com/news/2011-09-30/consumer-spending-in-u-s-slowed-in-august-as-incomes-unexpectedly-dropped.html

[Bragi]

1. What, is everyone asking for refunds?

Hard to imagine that consumer demand could get any weaker.

[ixion]

2. just watch

we've not seen the worst of it yet.

[SOS]

10. Exactly

European sovereign debt is now being held together with silly string and scotch tape.
The international banking system is on the verge of collapse (again).
We are in the early stages of a global debt crisis that will go on for many, many years.

[cstanleytech]

3. I dont know about anyone else here but what hit our household bad to cut our spending this month was

yet another high ass electric bill, combo of heat wave + the electric company hiking the rates during the summer was painful to the wallet.

[titaniumsalute]

5. and couple that with near record high gasoline bills

[Auntie Bush]

14. But remember we're NOT experiencing inflation...no need to raise the COLA.

All is just hunky dory! :sarcasm:

[NickB79]

11. Same here. Our electric bill DOUBLED

The heat was bad this summer, even all the way up here in Minnesota. Combine that with the need to run a dehumidifier and sump pump constantly to keep our basement dry and prevent mold due to a horribly wet winter and spring, and our electric bill went into the stratosphere.

[locahungaria]

4. "..incomes UNEXPECTEDLY dropped....."?

Yeah, who could have seen THAT coming! :sarcasm: :banghead:

[xxqqqzme]

6. What?

When all that talk about 'job creators' was flying fast and furious?

Couple this bit of news along w/ the luxury items market booming and, why lookee here, I do believe class warfare is at hand.

[pam4water]

7. It was down by a lot more than that around here and things had been holding up better here than

other parts of the country.

[jwirr]

8. I am not spending - usually for Xmas I start buying a little at a time

about now. This year I am making my gifts - my 9 great grandchildren are all getting personalized quilts, the rest will get homemade cookies (which of course the ggchildren will also eat) and books from my library.

There just is not enough money to splurge on mostly things no one needs.

[tawadi]

9. People have to have jobs to spend money.

Well paying, secure, permanent employment.

[tpsbmam]

12. When are the oligarchs going to get a clue? Starving the populace

does NOT lead to the populace spending money. This is one huge fucking DUH on the part of the assholes who KNOW that the world economy is being trounced by the oligarchs who are striving for international ownership of everything while doing their best to create a serfdom of low-wage peons doing their bidding and further enriching them. And then we're supposed to SPEND?!!? Yeah, right, jackasses. Ain't gonna happen.

[Supersedeas]

13. they are waiting until November 2012 to decide when/if to hire

[Auntie Bush]

15. I've been saying that for years. Most all are economic problems

are deliberate due to politics and wanting this President to fail. We have to stick together and make sure he doesn't fail or we're screwed!