Consumer Spending Growth Has Flattened
(Positive) Real consumer spending in November 2016 was $11,636 billion real dollars (seasonally adjusted at an annual rate). This was all-time high in consumer spending. The month-over-month rate of growth in consumer spending was 2.8 percent. The current rate of growth has been below the historic average of 3.3 percent since July 2015. The annual rate of growth ticked up to 2.7 percent, but the rate of growth has been 2.6 or 2.7 percent since May.
In November, durable goods spending grew 6.9 percent, which means the 1/12 rate of growth was above average for the fourth time in five months. Durable goods spending accounted for 14.1 percent of all consumer spending in November. This was the highest percentage for durable goods spending ever. The annual rate of growth, now 5.5 percent, accelerated for the second straight month and was the fastest rate of growth since April 2016.
Below are key spending categories that lead the most important manufacturing new orders and production indices.
Accelerating Growth: appliances, durable goods, electornics, food/beverage, motor vehicles/parts, pleasure boats, total consumer
Decelerating Growth: air transportation services, clothing/footwear, medical care, other non-durable goods, pleasure boatsblog comments powered by Disqus