The Globe and Mail reports in its Friday edition that U.S. consumer spending increased solidly in November and October, likely keeping the economy on track for a third straight quarter of strong growth. A Reuters dispatch to The Globe reports that consumer spending rose 0.5 per cent in November, matching October's increase, said the Commerce Department's Bureau of Economic Analysis. Economists estimated a 0.5-per-cent rise in consumer spending for November, but October and November data were delayed due to a 43-day government shutdown. The Atlanta Federal Reserve forecasts GDP growth of 5.4 per cent in the fourth quarter. The economy is largely driven by consumer spending and a shrinking trade deficit due to President Donald Trump's tariffs. Economists note that higher-income households are supporting spending, while lower- and middle-income households struggle to substitute purchases, resulting in a K-shaped economy. Spending remained bifurcated in early January, with the Federal Reserve noting that higher-income consumers increased spending on luxury goods, travel and experiences. Though inflation subsided in October and November, that was because the government shutdown injected a downside bias to prices.