On the Eco front today, the news on personal spending should not be much of a surprise. Super storm/hurricane Sandy took a toll on this month’s numbers. However, there may be a bit of an increase next month as some repairs were made and items purchased. Unfortunately, the income numbers don’t bode well for the amount of spending – unless there are insurance proceeds.
- Oct. personal income unchanged vs est. up 0.2% (range 0.1% decline to 0.4% increase).
- Personal spending dropped 0.2% vs est. unchanged (range 0.2% drop to 0.5% gain)
- Core inflation up 0.1% M/m vs est. 0.2%; up 1.6% Y/y vs est. 1.7%
- Prior Y/y revised to 1.6% from 1.7%
- “Grim report,” with income, spending hurt by Sandy, says Bloomberg economist Joseph Brusuelas
- Notes inflation-adj. spending down 0.3%, inflation-adj. income ex-govt