• Income up 0.1% vs. +0.3% expected.
• When spending rises without corresponding income gains, it’s not sustainable.
• Savings rate fell to 3.6% from 4.1%
• Year-over-year core PCE inflation +1.6%, same as Aug
• Headline inflation up 2.9%, also same as Aug, below +3.0% exp
• Employment cost index also lower than expected