Consumer spending rose more than forecast in July as Americans dipped into savings to buy cars and cool their homes, showing the largest part of the economy is holding up, Bloomberg reported.

Purchases rose 0.8 percent, the biggest gain since February, after a 0.1 percent decline the prior month, U.S. Department of Commerce figures showed. Incomes grew 0.3 percent, and the savings rate dropped to a four-month low.

Demand may moderate due to a 17 percent plunge in the Standard & Poor’s 500 index from July 22 through August 8, arguments about the federal budget and the first U.S. credit-rating downgrade in history. At the same time, the recent drop in fuel prices might help stem cutbacks in spending.

“It may be tough to repeat that strong a performance,” said Michael Feroli, chief U.S. economist at JPMorgan Chase & Co., in an interview with Bloomberg. Still, “the decline in gasoline prices is a positive for the economy and the consumer in particular.”

The median estimate of 74 economists surveyed by Bloomberg called for a 0.5 percent increase in consumer spending. The Commerce Department revised the June spending figure from a previously reported 0.2 percent decline.