×
20 797
Fashion Jobs
CONVERSE
Technical Product Manager, Supply And Demand Planning
Permanent · Boston
CONVERSE
Technical Product Manager, Global Sourcing And Manufacturing
Permanent · Boston
CONVERSE
Technical Product Manager, Finance
Permanent · Boston
ULTA BEAUTY, INC.
Prestige Sales Manager
Permanent · Jacksonville
ULTA BEAUTY, INC.
Retail Sales Manager
Permanent · Raleigh
H&M
Product Owner
Permanent · Secaucus
MAC
Executive Director, Digital Innovation & Design, Mac
Permanent · New York
SMASHBOX
Senior Manager, Ecommerce, North America, Sbx
Permanent · Culver City
ESTÉE LAUDER COMPANIES
Keyholder - Cosmetic Company Store - North Georgia Premium Outlets - Dawnsonville, ga
Permanent · Dawsonville
CLINIQUE
Retail Beauty Sales Coordinator - Clinique - 40 Hours - Arden Fair - Sacramento, ca
Permanent · Sacramento
CLINIQUE
Beauty Sales Manager - Clinique - 40 Hours - Rosedale - Roseville, mn
Permanent · Roseville
ESTÉE LAUDER COMPANIES
Part-Time Keyholder - 20Hrs - Cosmetics Company Store - Outlets at Tejon - Arvin, ca
Permanent · Bakersfield
ALICE AND OLIVIA
Sales Supervisor - Manhasset, ny
Permanent · Manhasset
ALICE AND OLIVIA
Sales Supervisor - Bryant Park
Permanent · New York
NIKE
Senior Project Manager
Permanent · Memphis
NIKE
Product Owner
Permanent · Beaverton
NIKE
Product Manager, Sales & Demand Data Products
Permanent · Beaverton
NIKE
Product Management Manager, Inventory Forecasting
Permanent · Beaverton
CONVERSE
Finance Manager - Stores
Permanent · Boston
BATH & BODY WORKS
Development Manager, Ecommerce
Permanent · Reynoldsburg
ULTA BEAUTY, INC.
Prestige Sales Manager
Permanent · Fairview Heights
ULTA BEAUTY, INC.
Retail Sales Manager
Permanent · Grand Prairie

US consumer spending rises for second straight month, income drops further

By
Reuters API
Published
Jul 31, 2020
Reading time
2 minutes
Share
Download
Download the article
Print
Click here to print
Text size
aA+ aA-


US consumer spending increased for a second straight month in June, setting up consumption for a rebound in the third quarter, though the recovery could be limited by a resurgence in COVID-19 cases and the end of expanded unemployment benefits.


Americans bought more fashion last month



The Commerce Department said on Friday that consumer spending, which accounts for more than two-thirds of economic activity, rose 5.6% last month after a record 8.5% jump in May as more businesses reopened. Consumers stepped up purchases of clothing and footwear. They also spent more on healthcare, dining out and on hotel and motel accommodation.

Economists polled by Reuters had forecast consumer spending would advance 5.5% in June. When adjusted for inflation, consumer spending increased 5.2% last month after surging 8.4% in May.

The data was included in Thursday's advance gross domestic product report for the second quarter, which showed the economy shrinking at a record 32.9% annualized rate as consumer spending tanked at a historic 34.6% pace.

With June's increase, inflation-adjusted consumer spending has pulled out of April's deep hole, though it remains below its pre-pandemic level. This puts spending on a higher growth trajectory heading into the July-September quarter.

But the explosion of COVID-19 infections, especially in the densely populated South and West regions where authorities in hard-hit areas are closing businesses again and pausing reopenings, is casting doubt on the magnitude of the expected surge in third-quarter consumer spending.

In addition, tens of millions of unemployed Americans will on Friday lose $600 in additional weekly jobless benefits after the White House and Congress failed to reach an agreement to extend the supplement, which has allowed them to pay rent and buy food, among other expenses.

In June, consumer spending was boosted by a 6.4% rise in purchases of goods. Outlays on services increased 5.2%.

Personal income dropped 1.1% last month after decreasing 4.4% in May as government welfare payments slowed. Wages increased 2.2% after rebounding 2.6% in May. The saving rate fell to a still-high 19% from 24.2% in May.

Monthly inflation ticked up in June, driven by food and energy goods and services prices, though the trend remained muted. The personal consumption expenditures (PCE) price index excluding the volatile food and energy components rose 0.2%, matching May's gain.

In the 12 months through June, the so-called core PCE price index increased 0.9% after rising 1.0% in May. The core PCE index is the preferred inflation measure for the Federal Reserve's 2% target.

© Thomson Reuters 2020 All rights reserved.