Consumer Spending Plunges

[DavidS]

Consumer spending plunges in October - Yahoo! News

WASHINGTON (Reuters) – Consumers cut spending during October at the steepest rate in more than seven years, according to a Commerce Department report on Wednesday that underlined rising risks the economy was headed into a deep recession.

Spending plunged 1 percent, slightly more than the 0.9 percent decline that Wall Street economists had forecast.

The department revised prior months' spending data to show that October was the fourth straight month in which consumers reduced current-dollar spending, a significant loss of stimulus since consumer spending fuels two-thirds of U.S. economic activity.

Adjusted for inflation, real spending fell for five straight months through October. The last time that real U.S. consumer spending fell for such a protracted period was over a five-month span from September 1990 to January 1991, the department said.

(Reporting by Glenn Somerville, Editing by Chizu Nomiyama)

 

[WillowTree]

hell yes! we've got big bills to pay and getting bigger! save yer money man. cause taxes and prices are fixing to skyrocket.

 

[DavidS]

hell yes! we've got big bills to pay and getting bigger! save yer money man. cause taxes and prices are fixing to skyrocket.

We're already getting a tax cut as of next January. You need to stop speculating on what you want to happen and actually pay attention to what IS happening. Obama's not raising taxes on anyone until Bush's tax cuts expire.

 

[WillowTree]

We're already getting a tax cut as of next January. You need to stop speculating on what you want to happen and actually pay attention to what IS happening. Obama's not raising taxes on anyone until Bush's tax cuts expire.

you mean he lied to us? hellfire!

 

[DavidS]

you mean he lied to us? hellfire!

You're grasping at straws. He didn't lie to us. Taxes will be raised on the most rich when the Bush tax cuts expire.

 

[Andrew2382]

You're grasping at straws. He didn't lie to us. Taxes will be raised on the most rich when the Bush tax cuts expire.

Bush's tax cuts effected everyone though. True the rich will pay more, but so will the middle and lower class becuase they also got a piece of the Bush Tax cuts.

 

[DavidS]

Bush's tax cuts effected everyone though. True the rich will pay more, but so will the middle and lower class becuase they also got a piece of the Bush Tax cuts.

If you pay attention, part of the stimulus package that Obama is going to sign on the day of his innaguration is tax cuts for the middle and lower class.

 

[WillowTree]

You're grasping at straws. He didn't lie to us. Taxes will be raised on the most rich when the Bush tax cuts expire.

nu huh,, he lied to us,, watch him,, no taxes on the rich,, no coroporate gains taxes,, no capital gains taxes,, you watch..

 

[DavidS]

nu huh,, he lied to us,, watch him,, no taxes on the rich,, no coroporate gains taxes,, no capital gains taxes,, you watch..

STFU your bullshit already. It's old and smells bad.

 

[Annie]

STFU your bullshit already. It's old and smells bad.

Not quite. If 2011 finds US still in recession, there are hints already that the tax cuts will be made permanent.

 

[WillowTree]

STFU your bullshit already. It's old and smells bad.

 

[busara]

how dare people stop spending now, when the economy needs now, more than ever, for people to spend!

 

[Annie]

how dare people stop spending now, when the economy needs now, more than ever, for people to spend!

I've cut my Christmas spending by over 50%. I've not bought anything not necessary since September, meaning just food and paying bills. I'm trying to get all balances paid off and then build up savings. My guess, I'm pretty typical.

 

[busara]

I've cut my Christmas spending by over 50%. I've not bought anything not necessary since September, meaning just food and paying bills. I'm trying to get all balances paid off and then build up savings. My guess, I'm pretty typical.

and youre worsening the economic downturn by doing so. shame

 

[Annie]

and youre worsening the economic downturn by doing so. shame

Righto. Me and others I'm pretty confident.