Business Highlights

Flat incomes, weak consumer spending raise concern

WASHINGTON (AP) — Flat incomes suggest more weakness ahead in consumer spending, reinforcing concerns about a ho-hum holiday shopping season and a sluggish economic recovery.

The Commerce Department reported that personal incomes were stagnant in September while the all-important wage and salary category dropped 0.2 percent, as unemployment rose.

Consumer spending — which accounts for 70 percent of total economic activity — dropped 0.5 percent, the first decline in five months and the biggest since December.

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Stocks swoon as worries about the economy return

NEW YORK (AP) — Grim signals about consumer spending ripped through the markets Friday, sending stocks tumbling as investors raced for safe havens.

The Standard & Poor's 500 index and the Nasdaq composite index ended with losses for October, breaking a streak of seven straight months of gains. The Dow Jones industrial average tumbled 250 points, erasing a 200-point gain Thursday and ending the month flat.