US consumer spending grew a solid 0.4 percent in June

WASHINGTON – American consumers turned in another strong month of spending in June despite a decline in spending on autos.

The Commerce Department says consumer spending rose a solid 0.4 percent in June after an identical increase in May and a 1 percent surge in April. The strength in June came from a surge in spending on nondurable goods, which offset a drop in spending on autos.

Personal income grew a moderate 0.2 percent in June, matching May's gain.

Economists say they think solid gains in employment will support future growth in consumer spending, which accounts for about 70 percent of economic growth. The economy expanded at a modest 1.2 percent annual rate in spring. Analysts say they expect double that growth rate in the second half of 2016.