US personal income and spending likely quickened in August

Powered by a projected pickup in private wage and salary disbursements, personal income probably rose by 0.5% in August, following four consecutive 0.4% increases over the April-July span. Consumer spending is expected to follow suit during the reference period. Stepped-up purchases of motor vehicles and retail control items, combined with a utilitiesbuoyed acceleration in services outlays, likely boosted nominal personal consumption expenditures (PCE) by 0.5% - the largest gain in three months. 

"With the PCE chain-price index expected to be unchanged, real PCE is forecast to have climbed by 0.5% as well in August. That estimate, along with anticipated upward revisions to previously posted figures for the prior two months, would place quarter-to-date real PCE 3.0% annualized above the AprilJune, requiring merely stable outlays in September to hit our published 3.2% Q3 growth target", says Societe Generale.