Consumer spending grew at a slower-than-expected pace in May, despite an acceleration in incomes.
Personal income in the U.S. increased $58.8 billion, or 0.4%, in May, which was in-line with analyst expectations.
The bump in income was higher than the 0.3% gain in April and the same as the same month a year ago, the Bureau of Economic Analysis announced Thursday.
An average of 76 economists estimated that personal earnings would grow 0.4% this month, according to Bloomberg data.
Personal spending gained less than economist predicted, growing only 0.2% compared to an expected 0.4%, according to Bloomberg data. Still, the growth was an improvement over April when spending was flat.