EmailPersonal income rose 0.2% in April, down from a 0.4% increase in March and below the Briefing.com consensus expectation of a 0.3% gain. The increase in income was in-line with the April employment report which showed aggregate earnings increasing 0.2%. Spending levels increased 0.3% in April after increasing a downwardly revised 0.2% in March. The consensus expected spending to increase by 0.3%.
Goods consumption increased 0.1% as gains in autos led durable goods spending up 0.6%. Lower gasoline prices helped push nondurable goods spending down 0.2%. Services spending increased 0.4% in April. That reflected a boost in household heating usage. Headline inflation levels were flat while core prices increased a lower-than-expected 0.1% (0.2% consensus). As a result, real consumption increased a healthy 0.3%.
