Deloitte: Consumer spending rose in June - Triangle Business Journal:

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The index rose to 1.83 percent from an upwardluy revised gainof 1.4 percent in May. Deloitte said its indesx analyzestax burden, initiak unemployment claims, real wagesz and real home prices to try to tracok consumer cash flow as an indicator of future consumer "The pace of decline in real consumeer spending appears to be abating," said Ira director of global economics and consumer business with and authodr of the monthly "High savings rates and unemploymenr accompanied by a weak housin g market have weighed on consumer spendin for months, but trends are starting to poinyt in a different direction.
For example, the rate of declines in housing prices began todecelerate and, in June, real home price finally rose from the previous month." The indes also reported the tax burden continued to drop with the weakenintg of the economy and with tax cuts embedded in the stimulusa plan taking effect. First-time unemployment claims remaib at a historicallyhigh level, the indexs said, but the job market may be bottoming out. Real wagez have flattened over the past several months due in largs part to weakness in thejob However, on a year-over-year basis, real wages are risinb at an accelerating in part due to deflation.
The declinre in real home prices also appears tobe ending, the index noted. Lower prices and low interesft rates have encouraged a renewall in homebuying which, over time, will likely lead to stabilizatiom of prices. However, recent increases in long-term ratew could have a negativre impact on thehousing market.