US: Personal Spending increases by 1.9% in July vs. 1.5% expected

• Personal Spending in US rose more than expected in July.
• US Dollar Index stages a modest rebound after the data.

Personal Spending in the US rose by 1.9% on a monthly basis in July, the data published by the US Bureau of Economic Analysis revealed on Friday. This reading followed June's increase of 6.2% (revised from 5.6%) and came in slightly better than the market expectation of +1.5%.

Further details of the publication showed that Personal Income, which declined by 1% in June, expanded by 0.4%, compared to analysts' estimate for a decrease of 0.2%.

Market reaction

The US Dollar Index recovered modestly with the initial reaction to the data and was last seen losing 0.65% on the day at 92.38.