US Consumer Spending Rises Moderately in August; Inflation Slows

USA ECONOMY - WASHINGTON. U.S. consumer spending increased moderately in August, suggesting the economy retained some of its solid momentum in the third quarter, while inflation pressures continued to abate.

Consumer spending, which accounts for more than two-thirds of U.S. economic activity, rose 0.2% last month after an unrevised 0.5% gain in July, the Commerce Department's Bureau of Economic Analysis reported on Friday. Economists polled by Reuters had forecast consumer spending climbing 0.3%.