Consumer spending dipped 1% as winter storms raked the U.S.

WASHINGTON – Consumer spending and personal incomes both fell sharply in February as severe winter storms disrupted shopping in many parts of the country and the government wrapped up distribution of $600 relief payments.

However, both are expected to rebound strongly this month as more people are vaccinated and flush with a second round of pandemic aid, this time in larger, $1,400 individual payments.

Consumer spending fell 1% last month, the Commerce Department reported Friday, the biggest drop since last April when spending tumbled 12.4% as the country was broadsided by the global pandemic.

Incomes fell a record 7.1% last month, a period when the government was completing the

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