US Personal Income and Outlays for October

On Wednesday, the US Bureau of Economic Analysis (BEA) reported that according to its estimates, personal income (PI) increased $147.4 billion, or 0.6% at a monthly rate in October. Disposable personal income (DPI), personal income less personal current taxes, increased $144.1 billion, or 0.7%. Personal consumption expenditures (PCE) increased $72.3 billion, or 0.4%.

Real DPI increased 0.4% in October, and Real PCE increased 0.1%; goods increased less than 0.1%, while spending on services increased 0.2%. The PCE price index increased 0.2%. Excluding food and energy, the PCE price index increased 0.3%.

Year-over-year, the PCE price index for October increased 2.3%. Prices for goods decreased 1.0%, while prices for services increased 3.9%. Food prices increased 1.0%, but energy prices decreased 5.9%. Excluding food and energy, the PCE price index increased 2.8%.

Personal outlays—the sum of PCE, personal interest payments, and personal current transfer payments—increased $69.8 billion in October. Personal saving was $962.7 billion, and the personal saving rate—personal saving as a percentage of disposable personal income—was 4.4%.