by Mike ‘Mish’ Shedlock
Mish Talk
Persona income for June was up 0.2% compared to a Bloomberg Consensus Estimate of 0.3% in a range of 0.3% to 0.5%. Spending rose 0.4% vs a consensus of 0.3% in range of 0.2% to 0.5%.
Highlights
The consumer continues to spend though income isn’t that strong. Personal income, for a second month in a row, inched 0.2 percent higher in June, in contrast to spending which, also for a second month in a row, rose 0.4 percent. The gain in spending was funded to a degree by savings as the savings rate is down 2 tenths to 5.3 percent.
There isn’t much positive movement in inflation data with both the overall PCE index and the core index (ex-food ex-energy) up only 0.1 percent. Year-on-year shows no improvement at all with the overall rate unchanged at plus 0.9 percent and unchanged at plus 1.6 percent for the core.