Pursuits
Upbeat Consumers Propel U.S. Fourth-Quarter Growth: Economy
Consumer spending last quarter climbed by the most in four years, underscoring the underlying strength of the expansion.
Photographer: Emile Wamsteker/BloombergThis article is for subscribers only.
American households picked up spending in the fourth quarter and remained confident in early 2015, indicating the economy is poised to overcome any bumps caused by slower global demand.
The biggest gain in consumer purchases in four years helped gross domestic product expand at a 2.2 percent annualized rate at the end of 2014, although that was less than previously estimated, according to Commerce Department data issued Friday in Washington. Other reports showed household sentiment held close to an 11-year high, manufacturing in the Chicago area shrank and more people signed contracts to buy a home.