U.S. Economic Resilience in February
U.S. personal income and consumer spending both increased in February, driven by wage gains and transfer payments. Consumer spending rose 0.4%, indicating steady demand despite inflation. Manufacturing wages and services sector wages also saw growth. The data suggests economic resilience despite gloomy consumer confidence surveys.
Key Points
- Wage gains and transfer payments drove personal income increase
- Consumer spending rose, indicating steady demand despite inflation
- Manufacturing wages growth may indicate rising demand for workers
- Disposable income rose after taxes, supporting economic growth
Pros
- Total personal income increased by 0.8%
- Consumer spending rose 0.4%
- Manufacturing wages and services sector wages saw growth
- Disposable personal income rose by 0.9%
Cons
- Consumer sentiment remains subdued