U.S. Consumer Spending & Inflation Report: May 2023
Following the previous month’s sharp declines, real consumer spending continued to weaken in April. Household finances have recently benefited from modestly rising incomes and a recovering savings rate, but they remain vulnerable to budgetary pressures. Inflation continued to be relatively sticky in April, driven by persistently strong core inflation. However, core services inflation, a category the Federal Reserve watches closely, finally showed signs of cooling.
About the author
Sofia Baig is an economist at decision intelligence company Morning Consult, where she works on descriptive and predictive analysis that leverages Morning Consult’s proprietary high-frequency data. Previously, she worked for the Federal Reserve Board as a quantitative analyst, focusing on topics related to monetary policy and bank stress testing. She received a bachelor’s degree in economics from Pomona College and a master’s degree in mathematics and statistics from Georgetown University.