Heavy Duty Trucking Logo
MenuMENU
SearchSEARCH

Economic Watch: Consumer Spending and GDP Gain Among Other Indicators

New figures show biggest driver of the U.S. economy increased last month while the overall economy grew more than estimated a month ago.

Evan Lockridge
Evan LockridgeFormer Business Contributing Editor
March 31, 2014
Economic Watch: Consumer Spending and GDP Gain Among Other Indicators

 

3 min to read


New figures show biggest driver of the U.S. economy increased last month while the overall economy grew more than estimated a month ago.

Ad Loading...

Consumer spending in rose 0.3% in February, according to a report released late last week by the U.S. Commerce Department. The increase is the biggest in three months and follows a 0.2% gain in January, but less than the 0.4% hike previously estimated.

Ad Loading...

Personal income during February rose by 0.3% Compared to a year ago personal consumption is up 3% while income has gained 3.1%. This follows a separate report from the Commerce Department showing the U.S. economy grew at a 2.6% annual rate in the final quarter of last year, compared to a 2.4% estimate a month ago and a 4.1% rate in the third quarter of 2013.

The new reading of the gross domestic product, which is a measure of the total output of goods and services, show for all of last year it expanded at a 1.9% rate, compared to 2.8% in 2012.

Much of the advance in the fourth quarter was due to increased consumer spending, gaining 3.3%, the best showing since the final quarter of 2010, and better than the earlier reported 2.6% increase.

Goods consumption was revised down from a 3.2% to 2.9% hike, but service spending was revised up from 2.2% to 3.5% gain, accounting for nearly all of the additional headline growth reported in the third revision of the fourth quarter.

“Consumption remains at a stagnant 2% pace. Still, consumers are spending despite uneven income growth,” said Lindsey Piegza, chief economist at the investment firm Sterne Agee. “The most recent upward revision to fourth quarter 2013 growth was thanks to a hefty upward revision to spending from 2.6% to 3.3%, the fastest pace since the fourth quarter of 2010.”

Ad Loading...

She says going forward, however, in order for consumers to maintain even this lackluster 2% pace, “we need to see organic job and income creation.”

“While a slowdown from the third quarter, the U.S. economy grew at a faster pace than previously reported at the end of 2013 as consumer spending rose by the most in three years. The spending rise itself reflecting a hearty increase in service spending, particularly in health care services,” Piegza said.

She notes business investment, however, was revised down significantly suggesting businesses remain hesitant to invest amid an uncertain outlook for the U.S. recovery.

Other economic indictors of importance to trucking that came out recently and are worth noting include:

New home sales in the U.S. fell 3.3% in February, hitting its lowest level in five months. The drop is being attributed to cold weather during the month and increasing mortgage interest rates.

Ad Loading...

New orders for durable goods increased 2.2% in February, following two consecutive monthly declines. The gain was lead by a 6.9% hike in new transportation orders. New nondefense orders in February fell 2.8%.

Shipments of durable goods during the same time increased 0.9%, following two straight monthly drops. It was also led by a gain in transportation equipment shipments, adding 1.3%, with nondefense shipments adding 0.1%.

Existing-home sales declined 0.4% to a seasonally adjusted annual rate of 4.60 million in February and 7.1% below the 4.95 million-unit level in February 2013. February’s pace of sales was the lowest since July 2012, when it stood at 4.59 million. 

More Fleet Management

ATA President Chris Spear.
Fleet Managementby Jack RobertsMarch 17, 2026

ATA’s Spear Warns Fuel Prices, Trade Policy, and Global Conflict Could Stall Trucking Recovery

Speaking at the TMC Annual Meeting in Nashville, ATA President Chris Spear said trucking faces mounting pressure from rising fuel prices, geopolitical instability, and uncertainty around trade policy.

Read More →
Illustration of author headshot with black-and-white old-fashioned rig in the background

New Entrants, Chameleon Carriers, and Safety: Is It Too Easy to Start a Trucking Company?

More than 100,000 new trucking companies enter the industry each year, but regulators manage to audit only a fraction of them. That churn creates opportunities for inexperienced startups — and for “chameleon carriers” that shut down after safety violations and reappear under new identities. Read more from Deborah Lockridge in this commentary.

Read More →
Panel discussion
Fleet Managementby Deborah LockridgeMarch 12, 2026

Fleet Managers Invited to Apply for Exclusive HDT Exchange Event

HDTX is an intimate event that connects heavy-duty trucking fleet managers with industry suppliers through small-group discussions, educational sessions, and structured one-on-one meetings.

Read More →
Ad Loading...
DAT iPhone Widget.
Fleet Managementby News/Media ReleaseMarch 12, 2026

DAT Launches iPhone Widget to Help Owner-Operators Find Loads Faster

New DAT One feature shows top-paying loads directly on an iPhone’s home screen, helping carriers react faster to spot-market opportunities.

Read More →
Optimal Dynamics Scale screen shot
Fleet Managementby News/Media ReleaseMarch 12, 2026

Optimal Dynamics Launches AI System to Help Carriers Choose Better Freight

Optimal Dynamics says its new Scale platform uses AI agents and optimization to help carriers find and secure freight that improves network balance and profitability.

Read More →
DAT March 2026 trucking conditions.
Fleet Managementby Jack RobertsMarch 12, 2026

DAT: Flatbed Demand Climbs as Van and Reefer Rates Soften

DAT Freight & Analytics data shows tightening flatbed capacity, easing produce markets, and softening van and reefer rates.

Read More →
Ad Loading...
YouTube thumbnail with Mike Roeth of NACFE saying "NACFE's Messy Middle: Which Fuel Wins?"
Fuel Smartsby Deborah LockridgeMarch 11, 2026

Run on Less “Messy Middle” Data Shows Multiple Paths Forward for Truck Powertrains [Watch]

NACFE's Run on Less - Messy Middle project demonstrates the power of data in helping to guide the future of alternative fuels and powertrains for heavy-duty trucks.

Read More →
Illustration of crowded New York street overlaid with dollar signs
Fleet Managementby Deborah LockridgeMarch 11, 2026

Federal Court Lets NYC Congestion Pricing Continue

A federal court ruling allows New York City’s congestion pricing program to continue, leaving truck tolls in place for fleets delivering into Manhattan.

Read More →
Fontaine Modification Access365
Fleet Managementby News/Media ReleaseMarch 10, 2026

Fontaine Modification Launches Real-Time Truck Modification Tracking Portal

Fontaine Modification has introduced a new customer portal designed to give fleets real-time visibility into the truck modification process, addressing one of the most common questions fleet managers face: “Where’s my truck?”

Read More →
Ad Loading...
FTR Tucking Conditions March 2026.
Fleet Managementby Jack RobertsMarch 10, 2026

FTR: Trucking Conditions Index Climbs to Highest Level Since 2022

Strong freight rates, rising volumes and tighter capacity push trucking conditions higher, though diesel prices could temper gains in the near term, FTR cautions.

Read More →