Inflation and spending up in US

US consumer spending rose for an eighth straight month in February as households tapped savings to cover higher food and energy prices, the Commerce Department revealed yesterday. Spending was up 0.7 per cent, higher than economists expected, after a 0.3 per cent increase in January. Inflation accelerated at its fastest pace since June 2009. Meanwhile, pending sales of previously owned American homes unexpectedly rose in February, jumping 2.1 per cent compared to January.