Consumer Spending

Consumer Spending and Personal Income

October 30, 2017 – Consumer spending, measured by Personal Consumption Expenditures (PCE), makes up approximately two-thirds of the economy and is a direct measure of purchasing activity.  We see where consumers are spending their dollars, whether it be durable and nondurable goods, or on services.  Changes in the personal income level dictate consumer spending. Personal income bumped up 0.4% in …

Chemical Activity Barometer

Chemical Activity Barometer

October 26, 2017 – The Chemical Activity Barometer (CAB) is a composite index, which is comprised of indicators drawn from a range of chemicals and sectors, including chlorine and other alkalies, pigments, plastic resins and other selected basic industrial chemicals. It has been shown to provide a lead of 2 to 14 months, with an average lead of 8 months …

Durable Goods Orders

Durable Goods Orders

October 25, 2017 – Durable goods orders, which are orders to buy products that are expected to last at least three years, indicates how busy factories will be in the near future.  As the name suggests, durable orders provide a look into demand for equipment along with other big-ticket purchases, such as vehicles and appliances. An increase in capital spending …

Existing Home Sales

Existing Home Sales

October 20, 2017 – Existing home sales provide the number of purchases made for homes, condominiums, and co-ops that have already been built.  Existing home sales give an indication of demand for housing.  While home resales may not generate new construction jobs like those that housing starts do, they have a similar effect on consumer spending as people purchase items …

Consumer Price Index

Consumer Price Index

October 18, 2017 – The Consumer Price Index (CPI) tells us of any inflationary pressures in the economy.  The CPI measures the average price levels of a basket of goods and services purchased by consumers.  The index starts with a base time period (1982-1984, currently) and shows the overall increase since that time.  As with many economic indicators, it can …

Imports and Exports

Imports and Exports

October 18, 2017 – Import prices tell us the cost of products that are produced abroad and purchased in the U.S., while exports are goods produced in the U.S. but purchased abroad. Import prices in September increased 0.7%, exceeding the consensus of 0.5% and up from August’s 0.6%. The past 12 months import prices increased by 2.7%.  Export prices rose …

Retail Sales

Retail Sales

October 18, 2017 – Retail Sales are the total amount of merchandise and related services sold to consumers.  It is considered a sign of strength of U.S. Consumer spending, which accounts for roughly two-thirds of the economy.  This indicator also provides insight into which areas of the retail space are experiencing strong sales, such as auto sales. Retail sales jumped …

Housing Starts

Housing Starts

October 18, 2017 – Housing starts track the number of new residential construction projects underway over the course of a month. This indicator has implications for demand in construction spending/jobs, consumer wages, and complimentary sectors such as durable household item sales. Along with building permits, housing starts is considered a leading economic indicator. Housing starts in September came in at …

Producer Price Index

Producer Price Index

October 12, 2017 – The Producer Price Index (PPI) looks at the average change in selling prices from the viewpoint of domestic producers of both goods and services. Three areas of production are observed: industry-based, commodity-based and commodity-based final demand-intermediate demand. The Producer Price Index (Final Demand) increased 0.4% in September, right in line with expectations. The PPI is now …

JOLTs

JOLTs since 2000

October 11, 2017 – The JOLTs report is the Job Openings and Labor Turnover Survey that tracks several trends in evaluating the labor market. Through JOLTs we are able to see voluntary and involuntary separations from employment in addition to new job openings and hires that have taken place. Job openings in August fell to a rate of 6.082 million, …