Personal Income, Disposable Income, and Personal Consumption Expenditures All Increase in June

The US Bureau of Economic Analysis (BEA) reported on Friday (7-28-23) that according to its estimates, personal income (PI) increased $69.5 billion, or 0.3%, in June. Disposable personal income (DPI), personal income less personal current taxes, increased $67.5 billion, or 0.3%. Personal consumption expenditures (PCE) increased $100.4 billion, or 0.5%.

The PCE price index increased 0.2% in June. Excluding food and energy, the PCE price index also increased 0.2%. Real DPI increased 0.2% and real PCE increased 0.4%; goods increased 0.9% and services increased 0.1%.

Year-over-year, the PCE price index for June increased 3.0%. Prices for goods declined 0.6%, while prices for services increased 4.9%. Food prices increased 4.6%, while energy prices declined 18.9%. Excluding food and energy, the PCE price index increased 4.1% from one year ago.

Personal outlays—the sum of PCE, personal interest payments, and personal current transfer payments—increased $109.4 billion in June. Personal saving was $862.4 billion, and the personal saving rate—personal saving as a percentage of disposable personal income—was 4.3%.