02:24 PM EDT, 06/27/2025 (MT Newswires) -- Personal income was down 0.4% in May, below expectations, with sharp declines in proprietors' income and transfer receipts and lower rental income partially offset by 0.4% gain in wages and salaries.

Personal consumption expenditures fell by 0.1% in May after a 0.2% increase in April, with goods spending down 0.8% and services spending up 0.1%.

After an adjustment for a 0.1% increase in the PCE price index, real consumption was down 0.3% in May after a 0.1% increase in April. The year-over-year rate for the overall price index accelerated to 2.3% from 2.2%

Core PCE prices rose by 0.2% in the month after a 0.1% gain while the year-over-year rate rose to 2.7% from 2.6%.

The University of Michigan consumer sentiment index for June was revised slightly higher to 60.7 from the preliminary estimate of 60.5 and was above May's reading of 52.2.

Michigan said that inflation expectations declined in June, though consumers are still concerned about the effects of tariffs on inflation.

The Kansas City Fed's services index fell to 3 in June from 11 in May. Other regional services data already released indicated a contraction for the sector.

The Q2 GDPnow estimate from the Atlanta Fed is for a 2.9% gain, revised down from a 3.4% gain reported on June 18. The next estimate is scheduled for July 1.

The St. Louis Fed's GDP nowcast estimate for Q2 is for a 1.02% gain, revised down from a 1.46% increase reported in the previous week.