US Consumer Spending Rises Slightly Less than Expected

US personal consumption expenditures increased by 0.5% in September 2026, following a 0.9% rise in August and coming slightly below forecasts of 0.6%. The $113.1 billion increase in current-dollar PCE in September reflected increases of $35.1 billion in spending on goods and $78.1 billion in spending on services. Within goods, spending on gasoline and other enrgy goods by $45.7 billion Service-sector spending was led by transportation (+$18.4 billion), housing and utilities (+$17.8 billion), and food services and accommodation (+$15.5 billion), followed by healthcare (+$13.0 billion) and financial services and insurance (+$11.1 billion). Meanwhile, personal income rose 0.2%, while disposable personal income increased 0.2%.

US personal consumption expenditures increased by $190.8 billion, or 0.9%, in August 2026, the most since March, exceeding expectations for a 0.8% rise and accelerating from a downwardly revised 0.1% gain in July. Goods spending rose $114.1 billion, driven by higher spending on nondurable goods, including other nondurable goods (up $24.7 billion), gasoline and other energy goods (up $20.9 billion), and food and beverages (up $11.6 billion), while durable goods spending increased $48 billion. Meanwhile, spending on services increased $76.7 billion, led by higher spending on food services and accommodations (up $20.6 billion), other services (up $18.7 billion) and health care (up $15.1 billion), partly offset by lower recreation services spending (down $10.3 billion). Meanwhile, personal income rose 0.2%, while disposable personal income increased 0.3%. Inflation-adjusted consumer spending increased 0.6% in August, accelerating from a 0.1% gain in July.

US personal spending increased by $36.3 billion, or 0.2%, in July 2026 from the previous month, slowing from a 0.3% gain in June but exceeding expectations for a 0.1% increase, as an increase in services spending was partially offset by a decline in spending of most goods. Goods spending decreased $49.9 billion, driven by a lower spending on gasoline and other energy goods (down $14 billion), recreational goods and vehicles (down $13.6 billion), motor vehicles and parts (down $9.4 billion) and furnishings and durable household equipment (down $3.8 billion). Meanwhile, spending in overall services increased $86.2 billion, driven by higher spending on financial services and insurance (up $24.3 billion), health care (up $23.2 billion) and housing and utilities (up $16.4 billion). Meanwhile, inflation-adjusted consumer spending was broadly flat in July, following a 0.4% increase in the prior month.