U.S. Personal Income Climbs 0.6% In October, More Than Expected
WASHINGTON (dpa-AFX) - While a report released by the Commerce Department on Wednesday showed a bigger than expected increase in U.
S. personal income in the month of October, the report also said personal spending rose by less than anticipated.
The Commerce Department said personal income climbed by 0.6 percent in October after rising by an upwardly revised 0.4 percent in September.
Economists had expected income to rise by about 0.4 percent compared to the 0.3 percent increase originally reported for the previous month.
Disposable personal income, or personal income less personal current taxes, also rose by 0.6 percent in October following a 0.4 percent increase in September.
Meanwhile, the report said personal spending edged up by 0.3 percent in October following an upwardly revised 0.7 percent advance in September.
Spending had been expected to climb by 0.5 percent, matching the growth originally reported for the previous month.
Real spending, which is adjusted to remove price changes, inched up by 0.1 percent in October after climbing by 0.5 percent in September.
With income rising faster than spending, personal saving as a percentage of disposable personal income jumped to 6.0 percent in October from 5.7 percent September.
A reading on inflation said to be preferred by the Federal Reserve showed that core consumer prices were up 1.7 percent year-over-year in October, unchanged from the two previous months.
Copyright RTT News/dpa-AFX