The Globe and Mail reports in its Saturday, Sept. 28, edition that in August, U.S. consumer spending increased moderately, indicating continued strong economic momentum in the third quarter. A Reuters dispatch to The Globe reports that consumer spending, which makes up more than two-thirds of U.S. economic activity, rose by 0.2 per cent last month, the U.S. Commerce Department's Bureau of Economic Analysis reported on Friday. Despite a slowdown in the job market, consumer spending is still supported by solid wage growth. Recent revisions to national accounts data revealed stronger wage and salary growth in the second quarter than previously estimated, along with a higher saving rate. These factors, along with increased incomes and savings, suggest positive prospects for consumer spending for the remainder of the year. There were concerns that consumers were using their savings to finance their spending. Worries about the labour market, including the unemployment rate surpassing 4 per cent, had sparked fears of precautionary saving, which could negatively impact spending. Early on Friday, financial markets saw about a 50-per-cent chance of another half-percentage-point rate cut at the Federal Reserve Nov. 6-7 policy meeting.