02:41 PM EDT, 05/30/2025 (MT Newswires) -- Personal income was up 0.8% in April, well ahead of expectations, lifted by gains in wages and salaries, proprietors' income and a surge in transfer receipts that offset a decline in return on assets and a flat rental income.

Personal consumption expenditures rose by 0.2% in April after a 0.7% increase in March, with goods spending down and services spending up.

After an adjustment for a 0.1% increase in the PCE price index, real consumption was up 0.1% in April following a 0.7% increase in March. The year-over-year rate for the overall price index slowed to 2.1% from 2.3%

Core PCE prices rose by 0.1% for a second straight month, slowing the year-over-year rate to 2.5% from 2.7%.

The University of Michigan consumer sentiment index for May was revised higher to 52.2 from the preliminary estimate of 50.8, leaving it unchanged from April's reading.

Michigan said that 1-year inflation expectations advanced modestly in May from April, while 5-year expectations slowed but remained elevated.

The advance goods trade deficit narrowed sharply to $87.62 billion in April after surging to $162.25 billion in March. Exports rose by 3.4% in April while imports plunged by 19.8%, a reversal after US consumers boosted purchases in March ahead of expected tariffs. The full trade report is scheduled to be released on June 5.

Advance wholesale inventories were flat while advance retail inventories decreased by 0.1%. Wholesale inventories will be updated on June 9, while retail inventories are eligible for revision on June 17.

The Chicago PMI fell to 40.5 in May from 44.6 in April, the last regional manufacturing reading for the month. The ISM's national index is due to be released on June 2.

The Q2 GDPnow estimate from the Atlanta Fed is for a 3.8% gain, revised up from a 2.2% increase reported on Tuesday. The next estimate is scheduled for June 2.

The St. Louis Fed's GDP nowcast estimate for Q2 is for a 2.71% gain, revised up from a 2.44% increase reported in the previous week.