Monday, February 2, 2009
Personal income decreased $25.3 billion, or 0.2 percent, and disposable personal income (DPI) decreased $25.1 billion, or 0.2 percent, in December, according to the Bureau of Economic Analysis. Personal consumption expenditures (PCE) decreased $102.4 billion, or 1.0 percent.The trend is clear: consumers are being forced to pull back, which is further evidenced by the downward revisions to November's release:
- Personal income was revised downward from a -0.2% decline to a -0.4%
- Real PCE was first estimated to jump 0.6% in November, but was revised downward to just a 0.3% increase.