Aug. 1 (UPI) — The U.S. Department of Commerce on Tuesday said consumer spending increased 0.1 percent in June, the lowest growth since February.
The Commerce Department’s Bureau of Economic Analysis said the marginal increase in consumer spending reflected a $3.5 billion decrease in personal income, representing a less than 0.1 percent decrease from May.
The bureau said disposable personal income decreased $4.2 billion, or less than 0.1 percent, and personal consumption expenditures increased $8.1 billion, or 0.1 percent.
American households spent more money on healthcare but saved funds on gasoline, due to lower gas prices.
“The decrease in personal income in June primarily reflected decreases in personal dividend income and personal interest income that were partially offset by an increase in compensation of employees. The June decrease in personal dividend income reflected a return to prior levels after a notable increase in May,” the bureau said in a statement.
The bureau said a $4.5 billion increase in personal consumption expenditures reflected a $10 billion increase in spending for services offset by a $4.4 billion decrease in spending for non-durable goods and a $2.3 billion decrease in spending for durable goods.
