US consumer spending growth slowed in March after a strong February, even as personal income growth picked up pace.
Consumer spending, which accounts for about 70% of US economic activity, rose 0.3% in March, the Commerce Department reported.
That undershot the average analyst estimate of a 0.5% rise. Excluding food and energy, spending rose 0.2%.
The figures show that in February, spending jumped a revised 0.9%, the strongest gain since August 2009.
As consumers tightened their wallets in March, personal income rose 0.4%, double expectations and picking up from 0.3% in February.
After adjusting for inflation, disposable income - personal income less current taxes - rose for the first time in three months in March, by 0.2%. The personal saving rate edged up to 3.8% from 3.7% in February, the lowest saving rate since December 2007, the beginning of a deep recession.
