Friday, August 27, 2010

A Closer Look At GDP: PCEs

Let's take a deeper look into the data from today's report, starting with the largest percentage component of GDP, personal consumption expenditures or PCEs. You can click on all images for a larger image.

Total PCEs increased 2% from the preceding quarter, right in line with recent experience.

Services -- which comprise 65% of PCEs saw the largest increase since 2Q08.

Purchases of non-durable goods also increased, although at a lower rate than the previous quarter.

Durable goods purchases increase at a healthy pace.