Consumer Spending Above Pre-Recession Level

Real personal consumption expenditures increased by 2.77% in November from a year earlier, to $9.432 billion, according to today's BEA report.  This was the largest increase in spending since a 2.96% yearly gain in January 2007, and lifted consumption spending above the pre-recession peak of $9.355 billion in December of 2007, when the recession officially started (see chart above).  The U.S. consumer is back.