Why prospect of deflation could pose a threat to US economy

WASHINGTON (AP) — The economic paralysis caused by the coronavirus led in April to the steepest month-to-month fall in U.S. consumer prices since the 2008 financial crisis — a 0.8% drop that was driven by a plunge in gasoline prices. And excluding the normally volatile categories of food and energy, so-called core prices tumbled 0.4%, […]

US consumer spending ticked up in January as incomes soared

 WASHINGTON (AP) — Americans lifted their spending just 0.2 percent in January, while their incomes jumped because of last year’s tax cuts. The Commerce Department says the modest spending increase followed gains of 0.4 percent in December and 0.8 percent in November. Incomes rose 0.4 percent, boosted by $30 billion in tax cut-related bonuses the […]