Consumer spending jumps in March

Personal consumption rises more than expected, even as incomes grow at slower pace.

Consumer spending jumped in March, even as income grew at a slower pace, according to a government report released Thursday.

The Commerce Department said personal spending by individuals in current dollars rose 0.4% in March, exceeding the 0.2% increase expected by economists surveyed by Briefing.com. February's gain was 0.1%.

The report showed personal income increased 0.3% in March, less than the 0.4% increase expected by economists. February's gain was 0.5%.

In inflation-adjusted dollars, personal income remained flat from the prior month.

Personal spending, in inflation-adjusted dollars, was up only 0.1%, indicating that the jump in consumer spending was primarily driven by higher costs.

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