Consumer spending rose 0.2 percent in October, driving the personal saving rate into negative territory for the fifth straight month, while jobless claims fell last week, government reports showed on Thursday.
Personal income also rose in October, by 0.4 percent slightly less than the 0.5 percent increase forecast by Wall Street while inflation outside of food and energy was tamer than expected. The Commerce Department said the personal saving rate was minus 0.7 despite a 0.3 percent rise in disposable income.
A separate report by the Labor Department showed the number of U.S. workers making new jobless claims fell last week to below pre-hurricane levels. Initial claims for state unemployment benefits dropped 17,000 to 320,000, largely in line with forecasts.
