Economic Indicators

U.S. consumer spending surges, outpacing income growth in September

2023.10.27 15:21



In a significant boost to the U.S. economy, consumer spending surged by 0.7% in September, surpassing analysts’ expectations of a 0.5% increase. This robust growth contributed to a 4% expansion in Q3 outlays, the highest level since 2019 excluding pandemic years.

The increase in consumer spending was broad-based, spanning sectors such as travel, healthcare, housing, automobiles, prescription drugs, and gasoline. This surge reflects the rising cost of necessities and led to a moderate 0.4% rise in inflation-adjusted consumer spending.

Despite the encouraging spending figures, incomes increased by a modest 0.3% and have been on a downward trajectory for three months when adjusted for inflation. The savings rate also dropped from 4% post-pandemic to 3.4%, indicating reduced financial security for households.

The Personal Consumption Expenditures (PCE) price index, a key measure of inflation, climbed by an unexpected 0.4% in September.

On the market front, both the DJIA and SPX opened slightly higher following this news. Meanwhile, the yield on the 10-year Treasury note TMUBMUSD10Y rose to 4.89%.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Source link

Related Articles

Back to top button
bitcoin
Bitcoin (BTC) $ 84,414.62 0.08%
ethereum
Ethereum (ETH) $ 1,946.14 1.09%
tether
Tether (USDT) $ 1.00 0.00%
xrp
XRP (XRP) $ 2.41 2.44%
bnb
BNB (BNB) $ 618.05 5.22%
solana
Solana (SOL) $ 135.48 0.60%
usd-coin
USDC (USDC) $ 1.00 0.00%
cardano
Cardano (ADA) $ 0.753544 2.03%
dogecoin
Dogecoin (DOGE) $ 0.176832 2.80%
tron
TRON (TRX) $ 0.222222 0.40%
staked-ether
Lido Staked Ether (STETH) $ 1,946.57 1.38%
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 84,213.56 0.04%
pi-network
Pi Network (PI) $ 1.44 5.22%
chainlink
Chainlink (LINK) $ 14.10 2.05%
leo-token
LEO Token (LEO) $ 9.74 0.48%
the-open-network
Toncoin (TON) $ 3.55 21.38%
stellar
Stellar (XLM) $ 0.276601 0.40%
wrapped-steth
Wrapped stETH (WSTETH) $ 2,332.53 1.13%
usds
USDS (USDS) $ 1.00 0.03%
hedera-hashgraph
Hedera (HBAR) $ 0.193286 0.70%
avalanche-2
Avalanche (AVAX) $ 19.34 2.38%
shiba-inu
Shiba Inu (SHIB) $ 0.000013 0.53%
sui
Sui (SUI) $ 2.36 0.85%
litecoin
Litecoin (LTC) $ 93.25 1.92%
bitcoin-cash
Bitcoin Cash (BCH) $ 344.25 4.96%
polkadot
Polkadot (DOT) $ 4.38 4.33%
mantra-dao
MANTRA (OM) $ 6.61 6.08%
weth
WETH (WETH) $ 1,947.42 1.12%
ethena-usde
Ethena USDe (USDE) $ 1.00 0.01%
bitget-token
Bitget Token (BGB) $ 4.47 0.84%
binance-bridged-usdt-bnb-smart-chain
Binance Bridged USDT (BNB Smart Chain) (BSC-USD) $ 1.00 0.22%
hyperliquid
Hyperliquid (HYPE) $ 14.55 4.86%
whitebit
WhiteBIT Coin (WBT) $ 28.96 1.29%
wrapped-eeth
Wrapped eETH (WEETH) $ 2,069.06 1.20%
monero
Monero (XMR) $ 211.29 0.41%
uniswap
Uniswap (UNI) $ 6.30 3.63%
susds
sUSDS (SUSDS) $ 1.04 0.01%
aptos
Aptos (APT) $ 5.39 3.11%
dai
Dai (DAI) $ 1.00 0.02%
near
NEAR Protocol (NEAR) $ 2.68 1.52%
pepe
Pepe (PEPE) $ 0.000007 1.14%
internet-computer
Internet Computer (ICP) $ 5.82 2.22%
okb
OKB (OKB) $ 46.66 0.91%
ondo-finance
Ondo (ONDO) $ 0.879851 1.03%
ethereum-classic
Ethereum Classic (ETC) $ 18.03 0.25%
gatechain-token
Gate (GT) $ 21.64 1.62%
aave
Aave (AAVE) $ 174.44 0.02%
coinbase-wrapped-btc
Coinbase Wrapped BTC (CBBTC) $ 84,405.61 0.11%
mantle
Mantle (MNT) $ 0.759465 3.59%
official-trump
Official Trump (TRUMP) $ 12.20 2.14%