Personal Spending

Also known as PCE (Personal Consumption Expenditures) represents the change in the market value of all goods and services purchased by individuals. It is the largest component of GDP. Personal income represents the change in compensation that individuals receive from all sources including: wages and salaries; proprietor’s income; income from rents; dividends and interest; and transfer payments (Social Security, unemployment, and welfare benefits).

POTENTIAL IMPACT ON INTEREST RATES: MODERATE