U.S. Personal Income Rises Less Than Expected In November

Personal income in the U.S. increased by slightly less than expected in the month of November, according to a report released by the Commerce Department on Friday, although the report also showed slightly stronger than expected personal spending growth.

The Commerce Department said personal spending edged up by 0.2 percent in November after climbing by 0.5 percent in October. Economists had expected personal income to rise by 0.3 percent.

Disposable personal income, or personal income less personal current taxes, also rose by 0.2 percent in November following a 0.5 percent increase in October.

Meanwhile, the report said personal spending climbed by 0.4 percent in November after jumping by an upwardly revised 0.8 percent in October.

Personal spending had been expected to rise by 0.3 percent compared to the 0.6 percent increase originally reported for the previous month.

Real spending, which is adjusted to remove price changes, rose by 0.3 percent in November after climbing by 0.6 percent in October.

With spending rising by more than income, personal saving as a percentage of disposable income dipped to 6.0 percent in November from 6.1 percent in October.

A reading on inflation said to be preferred by the Federal Reserve showed the annual rate of core consumer price growth ticked up to 1.9 percent in November from 1.8 percent in the previous month.