02:08 PM EST, 01/31/2025 (MT Newswires) -- Personal income was up 0.4% in December, as expected, lifted by a 0.4% gain in wage and salaries and increases in the other income categories.

Personal consumption expenditures increased 0.7% in December after a 0.6% gain in November with solid gains in both goods and services spending.

After an adjustment for a 0.3% increase in the PCE price index, real consumption was up 0.4% in December after a 0.5% increase in November. The year-over-year rate for the overall price index accelerated to 2.6% from 2.4%

Core PCE prices rose by 0.2% in the month while the year-over-year rate remained at 2.8%.

The employment cost index rose 0.9% in Q4 after a 0.8% gain in Q3, reflecting faster wage cost growth and steady benefits cost growth. ECI in Q4 was up 3.8% year over year, a slightly slower pace than the 3.9% gain in the previous quarter.

The Chicago PMI rose to 39.5 in January from 36.9 in December, the last regional manufacturing reading for the month. The ISM's national index is due to be released on Feb. 3.

The initial Q1 GDPnow estimate from the Atlanta Fed is for a 2.9% gain. The next update is scheduled for Feb. 3.