U.S. consumer spending in November showed the largest monthly increase in more than two years as incomes grew and shoppers took advantage of early holiday discounts, Bloomberg reported.

The 1.1 percent rise in purchases, reported the U.S. Commerce Department today, followed a revised 0.4 percent gain in October; both figures were higher than forecast. The report said the Federal Reserve’s preferred measure of inflation shows an accelerated rate of price increases.

The November spending climb was the biggest since July 2005. Economists anticipated that spending would rise 0.7 percent after an originally reported 0.2 percent increase in October, according to the median of 73 estimates in a Bloomberg News survey.

Higher salaries and more job opportunities may ward off a collapse in spending, which accounts for more than two-thirds of the economy, as home values fall and fuel costs rise. The increase in sales last month lessens the odds the economy will tighten this quarter, even as retail surveys suggest shopping has cooled in December, economists said. Incomes rose 0.4 percent after a 0.2 percent increase the prior month, today’s report showed. Personal income was forecast to rise 0.5 percent, according to the survey median.