Signs consumer spending declining

Intel’s forecast of faltering demand for electronics such as personal computers and mobile phones heightened concern that consumer spending is declining.

Shares of Intel, the world’s biggest semiconductor maker, tumbled as much as 8.2% and computer-related stocks fell after the company yesterday said sales worldwide are lower than expected.

Intel’s outlook may indicate consumers are slowing purchases after oil prices rose to record levels, a view echoed by executives from Japan’s Sony and Royal Philips Electronics NV in the Netherlands this week.