U.S. Consumer Spending Drops Slightly In December 2014 From Previous Month

Consumer spending on retail and restaurants declined a seasonally adjusted 0.9 percent in December 2014 from the previous month, according to the U.S. Department of Commerce. For most of 2014, consumer spending rose steadily, supported by steady job growth and relatively strong confidence. Also, the drop in consumer spending highlighted the limits that cheaper gasoline has in terms of driving spending growth and the overall economy. Moreover, lower fuel prices contributed to the spending decline. Retail sales grew 4 percent in November and December 2014, compared with the same period in 2013, according to National Retail Federation.