Is a recession near? Sharp drop in consumer spending signals it may be

• Inflation has slowed consumer spending faster than expected.
• That’s sending alarm bells about the economy to some analysts.
• They are now saying recession could hit sooner than originally expected.

Recession is appearing closer on the horizon as consumers show signs of crumbling under the weight of inflation, economists say. 

Adjusted for inflation, May consumer spending fell 0.4%, which was worse than economists’ mean forecast for a 0.3% decline. Further, April spending was revised sharply lower to up 0.3% from up 0.7%.