Americans' personal income growth, spending both gain pace in September

By Ovunc Kutlu

ISTANBUL (AA) - Americans' personal income growth and personal spending both gained pace in September from the previous month, according to official figures released Thursday.

Personal income climbed $71.6 billion, or 0.3%, at a monthly rate in September, according to the US Bureau of Economic Analysis.

The figure came in line with market estimates and gained its pace from a 0.2% monthly increase seen in August.

"The increase in current-dollar personal income in September primarily reflected increases in compensation and personal current transfer receipts that were partly offset by decreases in personal interest income and proprietors’ income," the agency said in a statement.

Disposable personal income, which is personal income minus personal current taxes, rose $57.4 billion in September, or 0.3%, from the previous month.

Personal spending, meanwhile, also referred to as personal consumption expenditures (PCE), increased $105.8 billion, or 0.5%, in September from the month before.

That figure came in higher than market expectations of 0.4%, while it also showed an acceleration from a 0.3% monthly gain in August.

"The $105.8 billion increase in current-dollar PCE in September reflected an increase of $72.1 billion in spending for services and an increase of $33.7 billion in spending for goods," said the agency.