Insight Report 4 minutes PremiumEconomic Analysis: CONSUMER SPENDING TEPID; HIGHER GAS PRICES TO CURTAIL OTHER SPENDING Coresight Research October 21, 2016 Executive Summary The US unemployment rate was unchanged in August, versus an expected drop of 10 basis points. Total nonfarm payroll employment increased by 151,000. Real personal consumer expenditures (PCE) dropped by 0.1% month over month in August, while real disposable income rose by 0.1% month over month. The core PCE deflator, which excludes food and energy prices, increased by 1.7% year over year for the month; the rate was slightly below the Federal Reserve’s target of 2%. The gas price rose moderately from August, reaching US$2.241 per gallon on October 16, 2016. The production cut by the Organization of the Petroleum Exporting Countries (OPEC) and crude oil hovering above US$50 a barrel tend to drive gas prices higher, which reduces consumption spending in other categories. Real PCE dropped by 0.1% month over month in August, while real disposable personal income ticked up by 0.1%. This report is for paying subscribers only. Already a paying subscriber? Please log in to see the entire report.If you wish to learn more about our subscription plans and become a paying subscriber, click here. This document was generated for Other research you may be interested in: US Store Tracker Extra, March 2023: Retailers To Close 31 Million Square Feet of Retail Space in 2023Healthcare—2024 Shopper Outlook: Insights Presented at the Drug Store News Industry Issues Summit 2023Market Navigator: US Beauty—Inclusivity, Premiumization and Innovation Lead the WayData Dive: US Return to Office—Three Retail-Relevant Trends You Don’t Already Know