Personal Income Rose 0.3% in April, Spending Up 0.2%

Washington, DC, May 31, 2024-Personal income increased $65.3 billion (0.3% at a monthly rate) in April, according to estimates released by the Bureau of Economic Analysis. Disposable personal income (DPI) -personal income less personal current taxes-increased $40.2 billion (0.2%), and personal consumption expenditures (PCE) increased $39.1 billion (0.2%).

The PCE price index increased 0.3%. Excluding food and energy, the PCE price index increased 0.2%. Real DPI decreased 0.1% in April and real PCE decreased 0.1%; goods decreased 0.4%, and services increased 0.1%.

This is the most important economic factor to the Fed in considering the true impact of inflation.