Tag Archives: Inflation

Freddie Mac's Primary Mortgage Market Survey registered little motion among rates for the week ending January 17. The average 30-year fixed rate slipped to 3.38 percent (0.7 point), down from 3.40 percent last week. The 15-year fixed rate averaged 2.66 percent (0.7 point), the same as in the previous week's survey. Bankrate.com, on the other hand, reported more extreme shifts as markets grow increasingly nervous about the country's continued financial uncertainties.

Personal income jumped 0.6 percent in November--twice what economists forecast--improving $85.8 billion, while spending rose a hefty 0.4 percent, the Bureau of Economic Analysis (BEA) reported Friday. The growth in spending matched economists├â┬ó├óÔÇÜ┬¼├óÔÇ×┬ó forecasts. The jump in spending reversed a $6.6 billion decline in October but fell short of the $86.2 increase in consumption recorded in September.

Real GDP growth for the third quarter was revised up again, the Bureau of Economic Analysis reported Thursday, reaching a 3.1 percent annualized growth rate. The report on GDP was the third of three monthly reports tracking the broadest measure of the nation's economic health. GDP growth of 3.0 percent is considered "trend," with above-trend growth suggesting favorable conditions for hiring. In the same report, BEA said corporate profits rose $45.7 billion in the third quarter, more than double the increase in the second quarter.

Consumer spending rose $87.9 billion, 0.8 percent, in September twice the 0.4 percent growth in personal income, $48.1 billion, the Bureau of Economic Analysis reported Monday. While the increase in income matched economist expectations, the increase in spending was higher than forecast. It was the third straight month spending grew faster than income, confirming last Friday's report showing a solid growth in Gross Domestic Product from 1.3 percent in the second quarter to 2.0 percent in the third.

Consumer spending rose $57.2 billion - 0.5 percent - in August, but personal income improved just $15 billion, 0.1 percent, the Bureau of Economic Analysis reported Friday.

The Federal Open Market Committee announced Thursday a new plan to stimulate a moribund economy continuing two earlier plans which at best stopped the economy from contracting. The FOMC said it would keep the federal funds rate near zero into mid-2015, six months longer than it had said previously. Separately, later in the day, the Fed issued its projections for the economy out to 2015, a more optimistic outlook than previous forecasts. The Fed painted a grim picture of the economy.

Acknowledging economic activity decelerated somewhat over the first half of this year and growth in employment has been slow in recent months, the Federal Open Market Committee nonetheless decided Wednesday to take no new actions to stimulate growth. Concluding a two-day meeting the FOMC instead said it would maintain its low interest rate policy and continue previously announced programs to reinvest proceeds of maturing Treasury securities it already holds and extend the average maturity of its portfolio.

Personal income rose $61.8 billion in June but consumers held on to it as personal spending fell 1.3 billion in the month, the Labor Department reported Tuesday. The increase in income ├â┬ó├óÔÇÜ┬¼├óÔé¼┼ô 0.5 percent ├â┬ó├óÔÇÜ┬¼├óÔé¼┼ô topped expectations of a 0.4 percent boost, but the 0.01 percent decline in spending fell short of the 0.1 percent increase economists had expected. Disposable personal income ├â┬ó├óÔÇÜ┬¼├óÔé¼┼ô essentially after-tax income ├â┬ó├óÔÇÜ┬¼├óÔé¼┼ô rose $52.4 billion in June. Personal savings as a percentage of disposable (after tax) income rose to 4.4 percent in June from 4.0 percent in May.

Consumer spending grew just 0.3 percent in April, up slightly from 0.2 percent in March, the Bureau of Economic Analysis reported Friday. Economists had expected spending to be up 0.3 percent. At the same time, personal income grew 0.2 percent in April, BEA said, compared with market expectations of a 0.

Consumer spending grew just 0.3 percent in March, down from the 0.9 percent growth in February, the Bureau of Economic Analysis reported Monday. Economists had expected spending to be up 0.4 percent. At the same time, personal income grew 0.4 percent in March, BEA said, slightly faster than February├â┬ó├óÔÇÜ┬¼├óÔÇ×┬ós 0.