Consumer spending rose at the strongest pace in four months in July, supported by a small gain in incomes, offering hope that consumers will be able to keep contributing to a modest recovery.

The Commerce Department said on Monday spending increased 0.4 percent, the largest gain since March, after being flat in June. Analysts polled by Reuters had expected consumer spending to rise 0.3 percent.

(Reporting by Lucia Mutikani, Editing by Chizu Nomiyama)