AMERICANS increased their spending in September at twice the rate their income rose, a sign of confidence in the economy.
The Commerce Department says consumer spending increased 0.8 per cent in September, the best showing since February.
Personal income rose 0.4 per cent, an improvement from a slight 0.1 per cent gain in August and the best gain since March.
A pickup in consumer spending helped lift economic growth in the July-September quarter to a still-modest 2.0 per cent annual rate.
The economy had grown at a 1.3 per cent rate in the April-June period.
The slight acceleration in growth is seen as encouraging, but economists are still worried the economy is stuck in a slow-growth rut.
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