BofA Data Shows U.S. Card Spending Jumps 3.5% in Early August

U.S. consumer outlays picked up at the start of August, according to aggregated credit- and debit-card data published by the Bank of America Institute. Total card spending rose 3.5% year on year in the week ended Aug. 9, an acceleration from 3% the previous week and well above the 1.8% average pace recorded in July. The broad-based improvement, which spans both retail goods and services, supports the bank’s view that overall economic activity may be re-accelerating after a mid-year slowdown. Consumer spending accounts for roughly 70% of U.S. gross domestic product, making the stronger showing a potentially positive signal ahead of upcoming government retail-sales figures.