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Spending Is On The Rise

Consumer spending was up for the 8th straight month in April and rose 0.7% in February, 2011.  However, vacancies are up too.  Residential vacancies largely steeped by foreclosures are depressing home prices and values and future numbers don’t look promising.  Vacancies are up 13% over last week’s report and up 12.1% from 2007 levels.  But despite the vacancies, in late 2010 the economy grew better than analysts expected.  The commerce department showed the Gross Domestic Product (GDP) was up 3.1% in the last quarter of the year, due partially to large rises in corporate profits.

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