
US consumer spending edged higher in June, capping a rebound in the second quarter from weak growth in the first months of the year, the Commerce Department reported Monday.
Consumer spending, which accounts for about 70 percent of US economic activity, rose 0.2 percent in June after a 0.7 percent gain in May and a 0.3 percent increase in April, the department said.
For the April-June quarter, spending increased at an annual rate of 2.9 percent, up from a 1.8 percent pace in the first quarter. The improvement was led by a 4.8 percent jump in goods purchases. Growth in spending on services, the sector that generates the most US jobs, was unchanged at 2.1 percent for the second consecutive quarter.
Personal income rose 0.4 percent for the third month in a row in June. Real disposable income picked up slightly, to 0.5 percent growth following two months of 0.4 percent.
Inflation remained tepid. The Federal Reserve's preferred inflation measure, the personal consumption expenditures price index rose 0.3 percent year-over-year in June, accelerating slightly from May.
Excluding food and energy, which can be volatile, so-called "core" PCE prices rose 1.3 percent for the sixth consecutive month, still well below the Fed's 2.0 percent target for price stability.
"Spending had a good Q2, even with some slowing in June," said Jim O'Sullivan, chief US economist at High Frequency Economics. "The trend in core PCE prices remains tame -- with no clear acceleration or deceleration."
GMT 15:13 2018 Saturday ,20 January
US 'erred' in supporting WTO membership for China, RussiaGMT 17:22 2018 Thursday ,18 January
US industrial output in 2017 posts biggest gain since 2010GMT 17:12 2018 Thursday ,18 January
No more bonuses for Carillion bosses after UK collapseGMT 17:20 2018 Wednesday ,17 January
EU to remove Panama, South Korea from tax haven blacklistGMT 17:16 2018 Wednesday ,17 January
Citigroup reports steep Q4 losses tied to US tax reformGMT 17:11 2018 Wednesday ,17 January
Pressure rises on British govt over Carillion collapseGMT 17:52 2018 Monday ,15 January
Iran jetliner deal could take longer to complete, Airbus saysGMT 17:44 2018 Monday ,15 January
EU to remove Panama, Korea, UAE, 5 others from tax haven blacklist
Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2025 ©
Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2025 ©
Send your comments
Your comment as a visitor