Recent Updates
- Israel: Average Housing Prices (Q2)
- Japan: NCI Economic Activity Index (Aug)
- US: NAHB/Wells Fargo Housing Market Index (Aug)
- Canada: Wholesale trade, MSIO (June)
- Pakistan: Foreign Currency Deposits and Utilization (JUL)
- more updates...
Economy in Brief
U.S. Empire State Manufacturing Index Plummets in August; Lowest Since May '20
The Empire State Manufacturing Index of General Business Conditions plunged to -31.3 in August...
U.S. Import and Export Prices Fall in July; Deepest Since April 2020
Import prices fell 1.4% m/m (8.8% y/y) in July...
U.S. Housing Affordability Declines Further in June
The NAR Fixed Rate Mortgage Housing Affordability Index fell 3.6% in June...
EMU Output Makes Solid Gain in June
The European Monetary Union posted a 0.7% increase for industrial output in June...
U.S. Producer Prices Fall During July; Core Increase Weakens
The Producer Price Index for Final Demand fell 0.5% during July...
Viewpoints
Commentaries are the opinions of the author and do not reflect the views of Haver Analytics.
by Tom Moeller December 22, 2005
Personal income rose an expected 0.3% last month following an upwardly revised 0.5% increase in October.
Growth in wage & salary income eased to 0.2% (4.2% y/y) from the unrevised 0.6% pop in October as factory sector wages fell 0.1% (+3.3% y/y). Service sector wages rose 0.2% (4.2% y/y) following 0.5% increases in October and September while government wages increased 0.2% (3.3% y/y).
Disposable personal income rose 0.3% (4.3% y/y) following an upwardly revised 0.4% October gain. Adjusted for the 0.4% decline in prices, take home pay jumped 0.7% (1.5% y/y).
The PCE chain price index dropped 0.4% as gasoline prices fell. Less food & energy, prices rose the same 0.1% as in October. Durables prices fell 0.2% (-0.9% y/y) as new auto prices were flat. Appliance prices fell 0.7% (+3.7% y/y) and audio, video & computer prices dropped 1.2% (-9.9% y/y). Clothing & shoes prices rose 0.2% (-1.5% y/y) while services price rose 0.3% (3.2% y/y) following two months of 0.4% increase.
The 0.3% rise in personal consumption expenditures was a bit light of expectations. Nondurables outlays fell 1.0% (8.0% y/y) though less gasoline & oil, spending on nondurables jumped 1.1% (6.9% y/y) led by a 1.5% (5.8% y/y) jump in spending on clothing & shoes. Spending on motor vehicles & parts rose 5.4% m/m and that helped lift durables spending overall 2.7% (-0.8% y/y), helped by a 1.3% (5.9% y/y) increase in spending on furniture. Services spending increased 0.5% (6.0% y/y) for the second month and the gain was led by a 0.6% (17.5% y/y) rise in spending on electricity & gas services.
Great Expectations and the End of the Depression from the Federal Reserve Bank of New York is available here.
Disposition of Personal Income | Nov | Oct | Y/Y | 2004 | 2003 | 2002 |
---|---|---|---|---|---|---|
Personal Income | 0.3% | 0.5% | 5.3% | 5.9% | 3.2% | 1.8% |
Personal Consumption | 0.3% | 0.2% | 5.8% | 6.5% | 4.9% | 4.2% |
Savings Rate | -0.2% | -0.3% | 1.3% (Nov '04) | 1.7% | 2.1% | 2.4% |
PCE Chain Price Index | -0.4% | 0.1% | 2.7% | 2.6% | 1.9% | 1.4% |
Less food & energy | 0.1% | 0.1% | 1.8% | 2.0% | 1.3% | 1.8% |