Consumer spending strengthens more than personal income in October

October Personal Income and Outlays: Income +0.5% M/M vs. +0.2% consensus and -1.0% prior. The increase reflects higher compensation, dividend income and interest income, partly offset by lower government social benefits.

Real disposable personal income decreased 0.3% in October, while real personal consumption expenditures rose 0.7%.

Consumer spending: +1.3% M/M vs. +1.0% consensus and  +0.6% prior.

PCE Price Index: +0.6% M/M vs. +0.6% consensus and +0.4% prior (revised from +0.3%).
On Y/Y basis, PCE Price Index +5.0% vs. +5.0% consensus and +4.4% in September. Energy prices jumped 30.2% Y/Y, while food prices increased 4.8%.

Core PCE Price Index: +0.4% M/M vs. +0.4% consensus and +0.2% prior.

Rises +4.1% Y/Y vs. 4.1% consensus and +3.7% in September.

Personal saving was $1.32T in October, down from $1.48T in September; the total number has declined since March.

The personal saving rate at 7.3% slipped from 8.2% in September and an unusually high 26.6% in March, when government fiscal stimulus was still strong.