WASHINGTON – Consumers opened their wallets and pocketbooks a bit more in June, increasing their spending for the second straight month while saving a bit less, even as incomes fell sharply.
is closely watched because it accounts for about 70 percent of total economic activity. The increase could provide a lift to the economy, but may be hard to sustain if incomes continue to fall.
The Commerce Department said Tuesday that consumers boosted their spending 0.4 percent in June, slightly ahead of analysts’ estimates. That comes after spending rose 0.1 percent in May.