Economy, Household Income | featured news

Americans cut back on spending last month and saw no growth in their income, partly reflecting disruptions from Superstorm Sandy that could drag on economic growth in the final months of the year.

Americans increased their spending more slowly in March, raising questions that consumers could be worried about the economy. The Commerce Department says consumer spending increased just 0.3 percent in March after a 0.9 percent gain in February. Income grew 0.4 percent following a 0.3 percent gain in February.

The economy expanded as expected in the fourth quarter while personal income grew at a much faster pace than previously thought, which should help underpin spending this quarter.