Consumer Spending Up 0.4 Percent, as Wages Climb

Household spending climbed more than forecast in August and the prior month was revised up, fueled by wage growth and indicating consumers will help the U.S. economy muddle through a global slowdown, a Commerce Department report showed Sept. 28.

The 0.4 percent increase in purchases matched the July advance that was larger than previously reported. The median forecast of economists in a Bloomberg survey called for a 0.3 percent August increase. Employment gains helped wages climb an annualized 5 percent over the past three months, the most since January.

Consumers’ willingness to spend puts the U.S. into a better ...