Real Personal Income Up 2.3% in May
According to the Bureau of Economic Analysis, May real personal income was $11,809 billion real dollars (seasonally adjsuted at an annual rate). The month-over-month rate of growth in May, 2.3%, is is the fastest rate of growth since May 2011, excluding November and December 2012 which were artificially boosted by tax law changes. The annual rate of change increased to 2.4%, which is its fastest rate of growth since November 2011. This is more than double the annual rate of growth seen in the middle of 2012. Annual real personal income has clearly been growing faster since October 2012. This should be a positive sign for spending in the second half of 2013.
Real personal income is one of the earliest leading indicators for the following end markets: aerospace; construction materials; custom processors; electronics, computers and telecommunications equipment; food and beverage processing; forming and fabricating (non-auto); hardware; HVAC; inudstrial motors, hydraulics and mechanical components; machinery and equipment manufacturing; metalcutting job shops; oil, gas field and mining machinery; power generation; primary metals; and printing.
blog comments powered by Disqus