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*DJ US Personal Income +0.4% In Oct; Consensus +0.5%

11/30/2006
Dow Jones News Services
(Copyright © 2006 Dow Jones & Company, Inc.)



(MORE TO FOLLOW) Dow Jones Newswires

11-30-06 0830ET

Copyright (c) 2006 Dow Jones & Company, Inc.

*DJ US Personal Spending +0.2% In Oct; Consensus +0.1%



(MORE TO FOLLOW) Dow Jones Newswires

11-30-06 0830ET

Copyright (c) 2006 Dow Jones & Company, Inc.

*DJ Sep Personal Income Unrevised At +0.5%



(MORE TO FOLLOW) Dow Jones Newswires

11-30-06 0830ET

Copyright (c) 2006 Dow Jones & Company, Inc.

*DJ Sep Spending Revised To -0.2% From +0.1%



(MORE TO FOLLOW) Dow Jones Newswires

11-30-06 0830ET

Copyright (c) 2006 Dow Jones & Company, Inc.

*DJ Oct PCE Price Index Ex Food, Energy +0.2% Rate Vs Mo Ago



(MORE TO FOLLOW) Dow Jones Newswires

11-30-06 0830ET

Copyright (c) 2006 Dow Jones & Company, Inc.

*DJ Oct PCE Price Index Ex Food, Energy +2.4% Rate Vs Yr Ago



(MORE TO FOLLOW) Dow Jones Newswires

11-30-06 0830ET

Copyright (c) 2006 Dow Jones & Company, Inc.

=DJ DATA SNAP: US Oct Personal Income Up Less Than Expected


=======================================================
US Personal Income ! Consensus: !
Oct Sep ! Income: +0.5% !
Income +0.4% +0.5% ! Actual: !
Expenditures +0.2% -0.2%r ! +0.4% !
=======================================================

By Jeff Bater
Of DOW JONES NEWSWIRES

WASHINGTON (Dow Jones)--Personal income grew a bit slower during October, yet still outpaced a modest increase in consumer spending, while inflation gauges held steady.

Personal income advanced at a seasonally adjusted rate of 0.4%, after increasing an unrevised 0.5% in September, the Commerce Department said Thursday.

Personal spending grew 0.2%, after falling a revised 0.2% in September. Originally, the government said spending grew by 0.1% in September.

The median estimates of 21 economists surveyed by Dow Jones Newswires were a 0.5% climb in personal income during October and a 0.1% increase in consumer spending.

A price index for personal consumption expenditures - or PCE - excluding food and energy increased by 0.2% in October compared with a month earlier. It grew 0.2% in September.

Compared with a year earlier, the core PCE price index rose 2.4% last month. It went up 2.4% in September. The Federal Reserve's comfort zone is 1.0% to 2.0% for the inflation gauge. At their last policy meeting, bankers decided to leave interest rates alone, citing a slowing economy and a likelihood inflationary pressures will moderate over time.

While the economy weakened in the third quarter from the second quarter - 2.2% vs 2.6%, its big engine, consumer spending, actually got stronger, recent data show; it is housing that is a heavy drag on growth these days. Thursday's report said spending on durable goods, designed to last three years or longer, grew 0.2% in October, after a 0.1% rise in September. Non-durable goods spending decreased 0.6% in October after a 1.5% drop the previous month. September spending on services rose 0.6%.

A large component of personal income, wages and salaries, increased by 0.6% last month.

After-tax income, also known as disposable personal income, expanded 0.3% in October, after increasing 0.5% during September.

Personal saving as a percentage of disposable personal income was negative 0.6% last month, marking the 19th straight month that this measure of savings has been in the red.
 
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