U.S. consumer spending fell in July, with a drop in auto purchases accounting for most of the weakness. Income growth also slowed.
Consumer spending edged down 0.1 percent last month after a 0.4 percent increase in June, the Commerce Department reported Friday. It was the first decline in spending since January. Income growth slowed to 0.2 percent in July, the weakest showing in seven months.
The fall in spending came primarily from a decline in auto sales, which took a breather in July after posting big gains in recent months, although spending in other areas was also weak.