Disposable Income Up 2.1% in February
According to the Bureau of Economic Analysis, February real disposable income was $11,763 billion real dollars (seasonally adjusted at an annual rate). The month-over-month rate of change in February increased by 2.1%. This is the second month in a row that the month-over-month rate of change has been greater than 2.0%. The annual rate of change, now 1.1%, has grown at a faster rate each of the last two months.
According to the Bureau of Economic Analysis, February real disposable income was $11,763 billion real dollars (seasonally adjusted at an annual rate). The month-over-month rate of change in February increased by 2.1%. This is the second month in a row that the month-over-month rate of change has been greater than 2.0%. The annual rate of change, now 1.1%, has grown at a faster rate each of the last two months. However, outside of the significant contraction in incomes during the financial crisis, the rate of growth in disposable income is still near the lowest rate of the last 20 years.
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; industrial motors, hydraulics and mechanical components; machinery and equipment manufacturing; metalcutting job shops; oil, gas field and mining machinery; power generation; primary metals; and printing.