US government figures have shown that consumer spending rose 0.6% in April, while personal incomes increased 0.5%.
The Commerce Department report also highlighted a pick-up in inflation that eroded income gains. It showed that real, or inflation-adjusted, personal income fell 0.1%.
The inflation gauge in the report showed a 0.5% rise in prices. Excluding food and energy, the increase was 0.2%, in line with expectations.
That puts this personal consumption expenditure price index up 2.9% year over year and the core rate up 2.1%.
Financial markets and the Federal Reserve are scrutinising inflation data for clues on how far interest rates will have to rise to keep price gains in check.
Meanwhile, the University of Michigan's final consumer sentiment index for May recorded 79.1, dowm from 87.4 in April but in line with expectations.
