US Personal Income Surges in April, Boosting Consumption and Savings
- US personal income increased by $80.1 billion in April.
- Personal consumption expenditures (PCE) rose by $151.7 billion.
- PCE price index increased by 0.4%, indicating a rise in prices.
In April, personal income in the United States increased by $80.1 billion (0.4% growth rate), while disposable personal income rose by $79.4 billion (0.4%).
Personal consumption expenditures increased by $151.7 billion (0.8%). The PCE price index rose by 0.4%, and real DPI and PCE saw slight increases. The rise in income was driven by compensation and income from assets, partially offset by a decrease in transfer receipts.
Services and goods spending contributed to the increase in PCE, with notable contributions from financial services, insurance, and healthcare. Personal outlays increased by $156.0 billion, and personal saving reached $802.1 billion (4.1% saving rate).
Prices for goods and services rose, with food prices decreasing slightly and energy prices increasing. Compared to a year ago, the PCE price index showed an increase of 4.4%, driven by goods and services prices.
Real PCE grew by 0.5%, led by goods spending and financial services. Estimations for previous months were revised based on updated data.