By Ruth Mantell
WASHINGTON (MarketWatch) -- U.S. consumer spending rose in October following September's sharp fall that came after the government's cash-for-clunkers program ended, the Commerce Department estimated Wednesday. Real (inflation-adjusted) consumer spending rose a seasonally adjusted 0.4% in October after a 0.7% drop in September. Real disposable incomes rose a seasonally adjusted 0.2%, following a gain of 0.1% in September. In current-dollar terms (not inflation-adjusted), spending rose 0.7% in October, following a drop of 0.6% in the prior month. Current-dollar personal income rose 0.2% in October. Economists surveyed by MarketWatch had expected nominal spending to rise 0.6% and incomes to gain 0.1%. With spending rising faster than incomes, the personal savings rate fell to 4.4% of disposable income in October from 4.6% in September.
