US consumer spending goes up

Washington, Sep 28 (IANS) US families continued to boost their spending in August as their take-home income posted a solid gain, according to a US Commerce Department report.

US personal consumption expenditure rose 0.3 percent in August, higher than the 0.2 percent growth pace in July, reported Xinhua citing the report issued Friday.

Personal income in the US edged up 0.4 percent in August after rising 0.2 percent in July, said the department.

The US savings rate increased to 4.6 percent in August from 4.5 percent in July.

Consumer spending accounts for 70 percent of the US economic activity.

Real gross domestic product expanded at an annual rate of 2.5 percent in the second quarter this year, boosted by a recovering real estate market and consumer spending.


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