US Consumer Spending Falls Yet Again

1% drop greater than forecast; 6 straight months of decline
By Kevin Spak,  Newser Staff
Posted Feb 2, 2009 9:06 AM CST
Circuit City customers walk in and out of a store in San Jose, Calif., Jan. 26, 2009.    (AP Photo)
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(Newser) – Consumer spending fell in December to finish off its worst year since 1961, Bloomberg reports. Purchases fell 1%, topping analyst estimates of a 0.9% decline. It was the record sixth consecutive month spending has fallen, and that streak may get longer, one economist predicted. Thanks to nearly 2.6 million job losses last year, he says, “further declines are likely in coming quarters.”