WASHINGTON, Dec. 23 (Reuters) – US household consumer spending rose at a pace in line with expectations in November after surging in October amid rising prices and shortages in stores.
Consumer spending, which accounts for more than two-thirds of economic activity in the United States, rose 0.6% last month, after rising 1.4% (revised) in October, published statistics show Thursday by the Commerce Department.
Economists polled by Reuters were forecasting an average rise of 0.6% in November.
Excluding energy and food, the “core PCE” price index rose 0.5%, above expectations which were up 0.4%. The increase in the previous month was also 0.5%. Year on year, this measure of inflation favored by the Federal Reserve rose 4.7%, following growth of 4.2% in October. The consensus was 4.5%.
At the same time, household income rose 0.4%, a figure in line with expectations, after rising 0.5% in October. (Report Lucia Mutikani; French version Claude Chendjou, edited by Jean-Michel Bélot)