Recent Updates

  • Japan: Wage Indexes, Monthly Labor Survey (May)
  • Budget Implementation (May)
  • Israel: Revenue Indexes (May)
  • Mauritius: Construction Price Index (Jun)
  • more updates...

Economy in Brief

U.S. Personal Income Up Moderately
by Tom Moeller September 30, 2004

Personal income grew a moderate 0.4% last month following the 0.2% uptick in July that was revised slightly up. Consensus expectations had been for a 0.5% increase.

Wages & salaries rose 0.4% (+4.6% y/y) and earlier months' figures were revised higher. Manufacturing wages jumped 0.8% (2.6% y/y) while wages in private service producing industries rose 0.3% (5.4% y/y).

Personal disposable income rose 0.4% (3.7% y/y) and inflation adjusted disposable income rose the same 0.4% (1.6% y/y).

"Labor's Share" from the Federal Reserve Bank of St. Louis can be found here.

Consumer spending was unchanged following the upwardly revised 1.1% jump in July. Durables purchases fell due to lower light vehicle sales. Purchases of non-durable goods and services both rose a modest 0.2%.

The PCE chain price index fell slightly for the second consecutive month. Prices less food & energy also fell (+1.4% y/y) as durables prices (-0.5% m/m, -2.1% y/y) continued lower. Services prices rose just 0.1% (2.5% y/y).

Disposition of Personal Income Aug July Y/Y 2003 2002 2001
Personal Income 0.4% 0.2% 5.0% 3.2% 1.8% 3.5%
Personal Consumption 0.0% 1.1% 5.1% 5.2% 4.6% 4.7%
Savings Rate 0.9% 0.5% 2.2% 1.4% 2.0% 1.8%
PCE Chain Price Index -0.0% -0.0% 2.1% 1.9% 1.4% 2.1%
close
large image