{spacing} is about both horizontal and vertical white space, e.g. space between letters or words, or space between paragraphs. For adjusting the space between the lines of a document, use {line-spacing} or -- if your question is specifically about the package of the same name -- {setspace}.

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Stretched character spacing with url citation

When printing a citation with a long URL lacking good break points, in a wide text block, the character spacing gets stretched out. \documentclass{article} ...