"Despite the healthy gains in income, U.S. consumers appear to have rediscovered a new sense of frugality"
- Millan Mulraine, an economist at TD Securities
U.S. consumer spending stalled in December said Bureau of Economic Analysis on Monday, a sign consumers attempt to restore depleted savings.
In a separate report, the Bureau of Economic Analysis said personal income soared 0.5 per cent in the last month of 2011, compared to November.
"A pause in spending is not a bad thing if it has the income behind it," said Jonathan Basile, an economist at Credit Suisse in New York. "Household saving is really the main source of future spending."
"Despite the healthy gains in income, U.S. consumers appear to have rediscovered a new sense of frugality," said Millan Mulraine, an economist at TD Securities.
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