US PCE Drops in June, Personal Income Higher - 31.7.2012
US Personal Consumption Expenditure decreased $1.3 billion from May to June, it dropped less than 0.1 per cent seasonally adjusted compared to a revised 0.1 per cent decrease from April to May according to the US Bureau of Economic Analysis. At the same time Personal Income increased by 0.5 per cent in June up from a revised 0.3 per cent increase in May, however that did not support consumption. Economists missed estimates for the personal consumption to increase by 0.1 per cent while the personal income was in line with expectations at 0.5 per cent increase in June. Moreover, as the personal consumption was reducing and personal income was increasing, raised the personal saving rate to 4.4 per cent in June from 4 per cent in May. Lastly, the US dollar currency index fell slightly today from 82.88 to 82.66, during the release of the news it was trading around 82.70 with minor fluctuations.