Personal Income and Outlays
This morning’s first piece of data was October's Personal Income and Outlays report at 8:30 AM ET, giving us insight into consumer ability to spend and their current spending habits. The Commerce Department announced a 0.7% rise in income and a 0.8% increase in spending. The rise in income was stronger than expected, but the more important spending reading pegged forecasts. In addition, the Fed’s preferred inflation reading (core PCE) rose 0.2%, also matching predictions. With two headline numbers of no surprise and the third coming in stronger than expected, we can label the report slightly unfavorable for rates.