US actual personal spending in August rose by 0.6% month-on-month, marking the fastest growth since March 2025

US consumer spending grew in August at the fastest pace in over a year, continuing to drive the economy amid persistent inflationary pressures. According to data released by the US Bureau of Economic Analysis on Wednesday, inflation-adjusted personal spending rose 0.6% month-on-month in August, marking the largest single-month increase since March 2025. The Federal Reserve’s preferred inflation gauge—the Personal Consumption Expenditures (PCE) Price Index—rose 0.3% month-on-month in August. Excluding food and energy, the core PCE Price Index increased by 0.2%.