U.S. Economic News
September 29, 2017
U.S. Economic Indicators
Real disposable personal income and real personal consumption expenditures (PCE) both edged down 0.1% in August. The PCE price index rose 0.2% (1.4% Y/Y) and the core price index inched up 0.1% (1.3% Y/Y). BEA Report
The University of Michigan Consumer Sentiment Index fell 1.7 points to 95.1 in the final September reading but is up 3.9 points on the year. The Index of Consumer Expectations declined 3.3 points to 84.4, while the Current Economic Conditions Index rose 0.8 point to 111.7. Report
U.S. News
According to the Wall Street Journal, the GOP effort to pass tax reform has hit its first hurdle, as House Republicans from high-tax states have opposed eliminating the state and local tax deductions. Experts expect that the tax reform effort will continue to face roadblocks, as different special interest groups will try to preserve favorable loopholes and deductions. WSJ
The Washington Post reports that Senate Democrats are launching a bipartisan effort to invest $500 billion in infrastructure. Democrats on the Senate Environment and Public Works Committee recently sent a letter to Transportation Secretary Elaine Chao asking to meet about the infrastructure effort, which should receive broad, bipartisan support. WaPo
Jeffrey Sparshott of the Wall Street Journal writes that the National Association of Manufacturers’ (“NAM”) member survey shows that U.S. manufacturers are reporting record-high levels of optimism regarding the direction of the U.S. economy. NAM says that healthy U.S. growth, strengthening foreign demand, and the prospect of tax reform have all boosted its members’ outlook. WSJ