Highlights of the September PCE report
Prior was +2.0% y/y
Core +0.2% m/m vs +0.1% expected
PCE deflator 2.0% vs 2.0% exp
Deflator +0.1% m/m vs +0.1% m/m exp
Personal income +0.2% vs +0.4% exp
Prior personal income +0.3% (revised to +0.4%)
Personal spending +0.3% vs +0.3% exp
Prior personal spending +0.3% (revised to +0.5%)
Real personal spending +0.3% vs +0.3% exp
Prior real personal spending +0.2% (revised to +0.4%)
There something for everyone here. Inflation was very close to expectations but the core m/m reading, which is a good real-time measure was a tad hotter than expected.
On the other side of the report, income was soft and spending in line but the prior months for both were revised higher.
There was no immediate market reaction to the report.
