Consumer Spending Up Slightly in February

Washington, DC, March 29, 2010--Consumers spending rose modestly last month, the Commerce Department said.

The government reported Monday that consumers boosted their spending by 0.3 percent in February. That was slightly slower than the 0.4 percent increase registered in January and marked the smallest increase since September.

Nevertheless, the increase in spending was considered a respectable showing, especially given the snowstorms that slammed the East Coast and kept some people away from the malls. It marked the fifth straight month that consumer spending rose.

Spending growth in February matched economists' expectations.

Consumers increased their spending on "nondurable" goods, such as food and clothing, by 0.7 percent in February. They also boosted spending on services by 0.3 percent, up from a 0.2 percent rise in January. However, they cut spending on "durable" goods, such as cars and appliances, by 0.4 percent, less than the 1.4 percent cut in January.