The Bureau of Economic Analysis said that personal income grew 0.2 percent in May, slowing a bit from the strong gain of 0.5 percent increase seen in April. Yet, personal incomes have grown 4.0 percent over the past 12 months. This continued to be a relatively decent year-over-year pace, albeit one that was down from 4.6 percent in March and 4.4 percent in April. At the same time, total manufacturing wages and salaries edged up slightly from $835.5 billion in April to $838.3 billion in May. This continues a steady increase over the longer-trend trend, up from the $780.9 billion and $804.9 billion averages of 2014 and 2015, respectively.
Meanwhile, personal spending also eased, with the growth rate down from 1.1 percent in April to 0.4 percent in May. To be fair, the April jump in personal spending following a stagnant March, making the April data something of an outlier. On a year-over-year basis, personal spending rose 3.6 percent, a modest pace that was marginally better than the 3.5 percent average seen over the past 12 months. In the May data, durable and nondurable goods spending was up 0.3 percent and 0.6 percent, respectively. Read More