Personal consumption expenditures in the US rose 0.1% in November, below market expectations.
The US Department of Commerce released personal income and consumption expenditure data for November.
Accordingly, personal incomes in the country increased by 0.4 percent in November compared to the previous month.
The personal income of Americans, which was above market expectations, was expected to increase by 0.3 percent in this period. Personal income in the country increased by 0.7 percent in October.
Personal consumption expenditures, on the other hand, rose 0.1 percent month-on-month in November.
Personal consumption expenditures, which continued to slow down, were expected to increase by 0.2 percent in this period. The increase in personal consumption expenditures was 0.9 percent in October.
The personal consumption expenditures price index, on the other hand, increased by 0.1 percent on a monthly basis in November, and recorded its lowest increase since October 2021, with 5.5 percent on an annual basis.
The core personal consumption expenditures price index, which is taken into account by the US Federal Reserve (Fed) as an indicator of inflation and which excludes food and energy items, increased by 0.2 percent on a monthly basis and by 4.7 percent on an annual basis in the same period. Market expectations were for the core personal consumption expenditures price index to increase by 0.2 percent monthly and 4.7 percent annually.
The core personal consumption expenditures price index increased by 0.3 percent monthly and 5 percent annually in October.
Analysts said indicators point to a continuing slowdown in inflation, but not enough to deter the US Federal Reserve from raising interest rates higher next year.
Orders decreased more than expected
Orders for durable goods decreased by 2.1 percent to $270.6 billion in November compared to the previous month.
Durable goods orders, which showed the sharpest decline since April 2020, were expected to decrease by 0.6 percent in this period.
Orders for durable goods rose 0.7 percent to $276.4 billion in October.
Orders for transportation equipment, which increased for 3 consecutive months, decreased by 6.3 percent in November. Orders excluding transportation increased by 0.2 percent in the same period, while orders excluding defense decreased by 2.6 percent.
Analysts said the sharp fall in durable goods orders is another sign that the economy is slowing.
Orders for durable consumer goods, which consist of products with a life span of at least 3 years, are important in terms of providing information on industrial production.