Americans pulled back on their spending in January, even as their incomes surged, a sign the economy was growing modestly before the threat of coronavirus arose.
The Commerce Department said Friday that consumer spending increased 0.2% last month, down from 0.4% in December and smallest gain since October. Incomes, however, rose 0.6%, the biggest gain in nearly a year, spurred by bigger paychecks and an increase in Social Security benefits stemming from a cost of living adjustment.
