Consumer Spending Advances at Cautious Pace

With a decline in spending was down for the U.S in September and August economist didn't really know what to expect in October. Some economists had expected stronger spending in October, considering the sharp drops in gasoline prices in recent months. Wages and salaries, which account for a large share of personal income, climbed 0.6% in October, matching September's advance. Economists said wages are rising because companies are finding that they must compete for qualified workers in an increasingly tight labor market. Analysts said some consumers remain guarded about spending because the struggling housing market makes them feel less wealthy and there's a concern that energy prices could escalate. Even thoough October was slow with consumer spending you can expect things to pick up with the holiday season coming.