Consumer spending above pre-recession level

WASHINGTON (MarketWatch) - Boosted by spending on autos and other durable goods, real U.S. consumer spending increased 0.5% to a record high in March, at last surpassing the pre-recession peak set in November 2007, the Commerce Department estimated Monday. After-tax, inflation-adjusted incomes increased 0.2% in the month, with transfer payments such as unemployment benefits accounting for much of the gain. The tepid income gains should hamper the economic recovery, economists say. With spending growing much faster than incomes in March, the personal savings rate fell to 2.7%, the lowest since September 2008.


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Is this the kind of "recovery" that we want? Employment and wages have not increased, but Americans are spending again... another bubble fueled by zero percent interest rates. It shows the American consumer 1) has an incredibly short memory and 2) will spend no matter what.

They both missed earnings this morning, reporting reduced consumer spending.

a lot of folks had put off buying stuff until now, or couldn't afford it until they saved up.