US Personal Spending Edges Up 0.1%, Income Rises 0.4%

Consumer spending in the United States edged up 0.1 percent in March from February of 2016, lower than an upwardly revised 0.2 percent gain in the previous month and below market expectations of a 0.2 percent rise. It is the lowest gain so far this year. Personal income grew at a faster 0.4 percent, compared to a downwardly revised 0.1 percent rise in February and market expectations of a 0.3 percent increase.
BEA | Joana Taborda | joana.taborda@tradingeconomics.com 4/29/2016 1:49:48 PM
Personal consumption expenditures (PCE) increased $12.8 billion, personal income increased $57.4 billion and disposable personal income (DPI) went up $50.4 billion, or 0.4 percent. Real DPI increased 0.3 percent in March, compared with an increase of 0.2 percent in February. Real PCE increased less than 0.1 percent, compared with an increase of 0.3 percent.

Wages and salaries increased $29.2 billion in March, in contrast to a decrease of $4.6 billion in February. Private wages and salaries increased $26.3 billion, in contrast to a decrease of $8.0 billion.  Government wages and salaries increased $2.8 billion, compared with an increase of $3.4 billion. Supplements to wages and salaries increased $5.4 billion in March, compared with an increase of $3.0 billion in February.

The price index for PCE increased 0.1 percent in March, in contrast to a decrease of 0.1 percent in February.  The PCE price index, excluding food and energy, increased 0.1 percent, compared with an increase of 0.2 percent. The March PCE price index increased 0.8 percent from March a year ago. The March PCE price index, excluding food and energy, increased 1.6 percent from March a year ago.

US Personal Spending Edges Up 0.1%, Income Rises 0.4%