Income Grows at Fastest Rate since January
The rate of growth in real disposable income has accelerated since March.
October real disposable income was $12,394 billion dollars (seasonally adjusted at an annual rate). This was an all-time high for real disposable income. In October, disposable income grew 3.9 percent compared with one year ago. This was the fastest rate of month-over-month growth since January. The growth rate has accelerated since March. In addition, previous months' income was revised higher. The annual rate of change accelerated to 3.7 percent, which was the fastest rate of growth since January 2007.
Real disposable income is one of the earliest leading indicators for the following end markets: aerospace; construction materials; custom processors; electronics/computers/telecommunications equipment; food/beverage processing; forming/fabricating (non-auto); hardware; HVAC; industrial motors/hydraulics/mechanical components; machinery/equipment manufacturing; metalcutting job shops; oil/gas field/mining machinery; power generation; primary metals; and printing.