MetroIntelligence Economic Update by P. DUFFY
June personal spending rises at more than twice the rate of personal income
Personal income increased 0.6 percent in June, disposable personal income (DPI) rose 0.7 percent and personal consumption expenditures (PCE) increased 1.1 percent, leading to a further decline in the personal savings rate to 5.1 percent.
Inflation tracker PCE price index up 1.0 percent in June and 6.8 percent year-on-year
The inflation tracker PCE price index for June increased 1.0 percent, with prices for goods up 1.5 percent and prices for services up 0.6 percent. Excluding food and energy, the PCE price index increased 0.6 percent. Year-on-year, the PCE price index increased 6.8 percent, with goods up 10.4 percent and services rising 4.9 percent. Excluding food and energy, the PCE price index increased 4.8 percent from one year ago.
Popularity of new homes rebounds to 21 percent in 2Q2022
After falling steadily for five quarters, the popularity of new homes rebounded in the second quarter of 2022, as 21% of prospective buyers reported looking for a newly-built home – up from 19% a quarter earlier. A possible reason for this pivot is the recent growth in the inventory of new homes for-sale, while the supply of existing homes on the market remains very tight.