US personal income dropped -2.0% mom, or USD 414.3B in May matched expectations. The fall in personal income primarily reflected a decrease in government social benefits. Spending dropped -0.4% mom, also matched expectations. Headline PCE price index accelerated to 3.9% yoy, up from 3.6% yoy, below expectation of 4.0% yoy. Core PCE price index accelerated to 3.4% yoy, up from 3.1% yoy, missed expectation of 3.5% yoy.
