Latest Breaking News

Capt. Obvious

(9,002 posts) Fri May 30, 2014, 09:27 AM May 2014

U.S. consumer spending dips; inflation creeps up

Source: Reuters

U.S. consumer spending fell for the first time in a year in April after two months of solid gains, but the decline probably will not change expectations for a sharp rebound in economic growth this quarter.

While demand cooled last month, there are signs price pressures in the economy are stirring, with an inflation gauge rising at its quickest pace since November 2012.

The Commerce Department said on Friday consumer spending slipped 0.1 percent in April after rising by a revised 1.0 percent in March, which was the largest gain since August 2009.

Last month's decline was the first since April 2013. Spending, which accounts for more than two-thirds of U.S. economic activity, was previously reported to have increased 0.9 percent in March and economists had expected it to rise 0.2 percent in April.

Read more: http://www.reuters.com/article/2014/05/30/us-usa-economy-idUSKBN0EA16O20140530

6 replies

= new reply since forum marked as read

Highlight:

U.S. consumer spending dips; inflation creeps up (Original Post) Capt. Obvious May 2014 OP

Nothing that caused the economic crisis in 2009 has been fixed. EEO May 2014 #1

Inflation jamzrockz May 2014 #2

and deflation is so much better? bossy22 May 2014 #4

Corporate vultures are set to increase prices to increase the misery index just before elections. kelliekat44 May 2014 #3

There is not a single problem that the US has... Rod Beauvex May 2014 #5

On One Hand... Munificence May 2014 #6

EEO

(1,620 posts)

1. Nothing that caused the economic crisis in 2009 has been fixed.

Reply to Capt. Obvious (Original post)

Fri May 30, 2014, 10:14 AM

May 2014

It is only a matter of time before the rich and the politicians they have purchased lead us into another economic crisis.

jamzrockz

(1,333 posts)

2. Inflation

Reply to Capt. Obvious (Original post)

Fri May 30, 2014, 11:11 AM

May 2014

is the most regressive type of punishment but the folks at the fed thinks its good for the economy.

bossy22

(3,547 posts)

4. and deflation is so much better?

Reply to jamzrockz (Reply #2)

Fri May 30, 2014, 02:00 PM

May 2014

atleast with inflation the economy is almost (keyword: Almost) always growing, which is the opposite of what happens during deflation

A moderate amount of inflation is good for an economy.

The only people that moderate inflation hurts is those who live off savings- which is a small minority in america. So if you are a person (like the fed chairman) who has to think of what's best for the WHOLE country, it's easy to see why they choose the inflation path.

kelliekat44

(7,759 posts)

3. Corporate vultures are set to increase prices to increase the misery index just before elections.

Reply to Capt. Obvious (Original post)

Fri May 30, 2014, 01:50 PM

May 2014

You have to admit, the greedy, misery-loving vultures sure know how to play their game...damn the rest of us.

Rod Beauvex

(564 posts)

5. There is not a single problem that the US has...

Reply to Capt. Obvious (Original post)

Fri May 30, 2014, 04:31 PM

May 2014

That can be solved without pissing off the rich. The political left knows this, but they need to go ahead and accept it.

Munificence

(493 posts)

6. On One Hand...

Reply to Capt. Obvious (Original post)

Fri May 30, 2014, 04:59 PM

May 2014

We get the bad news about the 1st quarter with "Blame it on the Weather" our reasons for woe!

Then we get the truth that consumer spending was 3% higher during Q1 Bad weather months), so now we are out of the "bad weather" in the "spring spending spree time with a pinch of pent up demand" and we get "Comsumer spending dips"....but ,but, but! How many are still gonna continue to believe the lines of bullshit we are getting fed by the powers that be?

Reply to this discussion