US: Personal income increased $40.0 billion (0.2%) in March

Personal income increased $40.0 billion (0.2 percent) in March according to official report released today by the Bureau of Economic Analysis. Disposable personal income (DPI) increased $35.0 billion (0.2 percent) and personal consumption expenditures (PCE) increased $5.7 billion (less than 0.1 percent).

Key findings:

• Real DPI increased 0.5 percent in March and Real PCE increased 0.3 percent.
• The PCE price index decreased 0.2 percent. Excluding food and energy, the (core) PCE price index decreased 0.1 percent.
• The increase in personal income in March primarily reflected increases in government social benefits to persons, nonfarm proprietors’ income, and compensation of employees.
• The increase in real PCE in March was more than accounted for by an increase in spending for services, notably spending for household utilities. This increase was partially offset by a decrease in spending for durable goods, which was more than accounted for by a decrease in motor vehicles and parts.