NationalEconomicTrends April Household Retrenchment Sharp declines in home prices, followed by a financial crisis and a steep recession, rattled US households in Economic misfortunes have caused many to reassess their finances, triggering sharp reversals in borrowing and spending habits Since the late 1s Americans have steadily saved a smaller and smaller percentage of their paychecks While the personal saving averaged close to percent between 15 and 1, it declined so much in the next 15 years that in the third quarter of 5 it was negative During the same period, household borrowing rose substantially: Between 1 and total borrowing increased by over percent Many economists noted that the situation was not sustainable 1 (In the chart, the thick blue line is the personal saving as a percentage of disposable income; the thin blue line is total household borrowing, consisting of home mortgages and consumer credit borrowing, in billions of dollars) Households have responded to the decline in wealth associated with falling house and stock prices by drastically reducing their borrowing and consumption; as a result, they have increased their savings Household borrowing reached a peak close to $1 trillion in the second quarter of Since then it declined precipitously, reaching negative $7 billion in the $ (billions) third quarter of implying that 1, households are de-leveraging by paying 1, down (or defaulting on) their debt The chart also shows the saving trending 1, upward since mid- As of January, the personal saving was at 5 percent of personal disposable income As noted, home and equity price declines affected household saving and borrowing: Mid-to-late marks the turning point for both series in the chart From its peak in to January, the median one-family home price has declined by over 5 percent, as measured by the National Association of Realtors The housing market turmoil also caused large losses for financial institutions with significant holdings of mortgage-backed securities and related derivatives This led to an across-the-board decline in equity prices: At the end of February, the S&P 5 had lost over 5 percent of its value since its October 7 highs Overall, between the third quarter of and the last quarter of, Americans net worth shrank by percent Another factor behind the reduction in borrowing and the increase in saving is the tightening of credit market conditions In response to the turmoil in financial markets and the reduction in household net worth, financial institutions have scaled back consumer lending programs Although the increased saving is an unavoidable adjustment, the magnitude of the reversal and its sudden nature can be reasons for concern Riccardo DiCecio and Charles S Gascon 1 See Massimo Guidolin and Elizabeth A La Jeunesse, The Decline in the US Personal Saving Rate: Is It Real and Is It a Puzzle? Federal Reserve Bank of St Louis Review, November/December 7, (), pp 1-51 See Silvio Contessi and Johanna L Francis, US Commercial Bank Lending through :Q: New Evidence from Gross Credit Flows Working Paper No -11A,, March Household Borrowing and the Personal Saving Rate Household Borrowing (left axis) Personal Saving Rate (right axis) 17 1 1 1 1 1 1 1 1 1 1 SOURCE: Federal Reserve Board and Bureau of Economic Analysis Percent of Disposable Income 1 1 1 Views expressed do not necessarily reflect official positions of the Federal Reserve System researchstlouisfedorg
Contents Page Economy at a Glance Output and Growth 7 Interest Rates Inflation and Prices 1 Labor Markets 1 Consumer Spending 1 Investment Spending 1 Government Revenues, Spending, and Debt 1 International Trade Productivity and Profits Quick Reference Tables 7 Notes and Sources Conventions used in this publication: 1 Shaded areas indicate recessions, as determined by the National Bureau of Economic Research refers to simple percent changes from year refers to the percent change from the same month or quarter during the previous year Compounded annual of change shows what the growth would be over an entire year if the same simple percent change continued for four quarters or twelve months The compounded annual of change of x between the previous quarter t 1 and the current quarter t is: [(x t /x t 1 ) 1] 1 For monthly data replace with 1 All data with significant seasonal patterns are adjusted accordingly, unless labeled NSA We welcome your comments addressed to: Editor, National Economic Trends PO Box St Louis, MO 1- or to: stlsfred@stlsfrborg National Economic Trends is published by the of the Visit the s website at researchstlouisfedorg/publications/net to download the current version of this publication or register for e-mail notification updates For more information on data in this publication, please visit researchstlouisfedorg/fred or call (1) -57
updated through // National Economic Trends Real GDP Growth Compounded annual s of change - - - 7 1 1717 175 17 1 Consumer Price 1 1 - - -1-1 - 7 1 1717 175 17 1 Industrial Production Interest Rates Percent 1-1 - - - 5 1 -Month Treasury 1- Treasury -5 7 1 1717 175 17 1 7 1 1717 175 17 1 Change in Nonfarm Payrolls Thousands - - - - 1 1717 7 175 17 1 Unemployment Rate Percent of labor force 7 77 7 7 57 5 7 7 1 1717 175 17 1
National Economic Trends updated through // Real Gross Domestic Product from year 1 5-5 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 Industrial Production and Institute for Supply Management (ISM) es from year 1 1 Industrial Production 7 5 - -1-1 ISM 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 5 Aggregate Private Nonfarm Hours from year 1 - - 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 Real Change in Private Inventories Percent of GDP 1-1 - 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1
updated through // Real Final Sales and GDP Compounded annual s of change Final Sales - - - GDP (bar) - 7 1717 175 17 1 Real GDP Revisions National Economic Trends Compounded annual s of change Advance Preliminary Final Revision - - - - :1 : : : :1 Industrial Production and ISM Nominal Gross Domestic Product Compounded annual s of change 1 1 5-1 - - - Industrial Production (bar) ISM 5 - - -5 7 1717 175 17 1-7 1717 175 17 1 Aggregate Private Nonfarm Hours 75 5 5-5 -5-75 -1 7 1717 175 17 1 Average Weekly Private Nonfarm Hours Hours 75 5 5 1717 7 175 17 1 Real Change in Private Inventories Billions of dollars - - - - -1-1 7 1717 175 17 1 Inventory-Sales Ratio Manufacturing and trade 1 1 1 1 1 1 1 7 1717 175 17 1 5
National Economic Trends updated through // Contribution of Components to Real GDP Growth Percentage points at compounded annual s - - - -1-15 7Q 7Q 7Q Q1 Q Q Q Q1 Consumption Exports Government Imports Inventories Investment Contributions to Real GDP Growth Rate 7 nd rd th 1st nd rd th 1st Final Sales 7 7-15 - -5 Consumption 1 1 7 1 7-75 - 15 Fixed Investment 7-15 -7 - -5-7 - - Nonresidential 17 1 7-1 -5 - Residential - -1-1 -11-5 - - -1 Government 77 75 1 7 11-1 Federal 7 51-1 7 7 5 - State and Local 1-1 17-5 - Net Exports 1 77 15-15 1 Exports 11 5 5 15 - - Imports 5-51 1 1 5 5 Change in Inventory 7 - - -15-11 -7 Residual -15 - - -1 Real GDP Growth 7 7-17 7-51 - -1
updated through // National Economic Trends Interest Rates Percent 1 15 1 1- Treasury -Month Treasury 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 Treasury Yield Curve Percent 5 5 Mar 15 Mar 1 5 Week Ending: // m 1y y 5y 7y 1y Standard and Poor's 5 with Reinvested Dividends from year 75 5 5-5 -5 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 7
National Economic Trends updated through // NIPA Chain Price es from year GDP Gross Domestic Purchases 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 Consumer Price from year Excl Food and Energy All Items - 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 Producer Price, Finished Goods from year 1 Excl Food and Energy - 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 PPI Employment Cost and Compensation per Hour from year 1 Comp per Hour ECI 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1
updated through // NIPA Chain Price es Compounded annual s of change GDP (bar) National Economic Trends Oil & Natural Gas Prices: Spot & Futures Dollars per barrel Dollars per million btu 15 1 - Gross Domestic Purchases 1 Spot Oil Oil Futures 1 - - 7 1717 175 17 1 Consumer Price Compounded annual s of change 15 1 5-5 -1-15 CPI (bar) Excl Food & Energy Spot Gas 1 Gas Futures 5 7 1 5 7 1 11 Note: Futures prices as of /1/ Consumption Chain Price Compounded annual s of change 1 PCE (bar) 5-5 -1 Excl Food & Energy - 7 1717 175 17 1-15 7 1717 175 17 1 Producer Price, Finished Goods Compounded annual s of change Unit Labor Cost Compounded annual s of change 1 PPI (bar) 1 1 Nonfarm -1 - Excl Food & Energy - Manufacturing (bar) - 7 1717 175 17 1-1 7 1 1717 175 17 Employment Cost from year Benefits Compensation per Hour Compounded annual s of change 1 Compensation Wages and Salaries 5 7 171 17 1 1717 175 17 1-7 1 1717 175 17
National Economic Trends updated through // Employment from year Payroll Survey Household Survey - - 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 Unemployment, Labor Force Participation, and Employment Rates Percent of labor force 15 1 Labor Force/Population Employment/Population Percent of population 7 7 1 Unemployment Rate 5 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 55 Duration of Unemployment Percent of labor force 5 Weeks 1 75 1 5 15 75 Unemployed > 15 Weeks Unemployed < 5 Weeks Median 1 1 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 1
updated through // National Economic Trends Change in Nonfarm Payrolls Thousands Change in Manufacturing Payrolls Thousands 5 - - - -5-1 -15 - -5-7 1717 175 17 1-7 1717 175 17 1 Change in Household Employment Thousands Labor Force and Population from year 15 Pop - 1 - - -1 % Confidence 5 Labor Force -15-1 7 1717 175 17 1-5 5 7 171 17 1 1717 175 17 1 Available Labor Supply and Components Percent of labor force 1 Unemployment Rate & Job Openings Rate Percent Percent 1 7 1 1 Unemployment Rate % Confidence 5 Available Labor Supply 7 Unemployed Want to Work 5 7 171 17 1 1717 175 17 1 5 Job Openings Rate 1 5 7 1 171 17 1 1717 175 17 1 1 11
National Economic Trends updated through // Real Disposable Personal Income from year, quarterly data 1-5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 Real Consumption from year, quarterly data 1 Durables from year, quarterly data 1 Total - - -1 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 - Retail and Food Services Sales from year, quarterly average 1 1 - - -1 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 *Data from Jan 1 to the present are on a NAICS basis; data prior to Jan 1 are on an SIC basis and are not strictly comparable (see End Note) Debt Service Payments and Household Debt Outstanding from year, quarterly data 1 Percent of disposable personal income 15 15 1 Debt Service Payments Household Debt Outstanding 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 1 1 11 1 1
updated through // Real Disposable Personal Income Personal Saving Rate Percent National Economic Trends - - - 7 1717 175 17 1-5 7 171 17 1 1717 175 17 1 Real Consumption Compounded annual s of change 5 15-15 - -5 7 1717 175 17 1 Real Consumption - - - 7 1717 175 17 1 Retail & Food Services 1-1 - - Total (bar) Ex Autos - 7 1717 175 17 1 Real Durables Consumption & Vehicle Sales Millions of vehicles, annual Autos and Light Trucks 1 - - Durables (bar) - 7 1717 175 17 1 1 1 1 1 Consumer Sentiment (U of Michigan) 11 1 7 5 5 7 171 17 1 1717 175 17 1 Real Durables Consumption Compounded annual s of change 15 75-75 -15-5 - 7 1717 175 17 1 1
National Economic Trends updated through // Investment Percent of nominal GDP Total 1 1 1 Private 1 1 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 Private Fixed Investment from year 1 Nominal 1 Real - -1-1 - 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 Real Nonresidential Fixed and Equipment & Software Investment from year 1 1 - -1-1 Equipment & Software Nonresidential - 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 Real Residential Fixed Investment from year - - 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 1
updated through // National Economic Trends Gross Saving Rates and Balance on Current Account (NIPA) Percent of GDP 5 15 1 5-5 -1 Gross Private Saving Gross Govt Saving BOCA 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 Real Private Fixed Investment Compounded annual s of change 1 Nondefense Capital Goods Orders from year, excluding aircraft -1 - - 1-1 - Equipment & Software Investment Orders - 7 1717 175 17 1-5 7 171 17 1 1717 175 17 1 Real Equipment & Software Investment Compounded annual s of change 1-1 - - - 7 1717 175 17 1 Real Nonresidential Fixed Investment Compounded annual s of change 1-1 - - - 7 1717 175 17 1 Real Residential Fixed Investment Compounded annual s of change 1 Housing Starts and New Home Sales Millions, annual Millions, annual 1-1 1 1 New Home Sales - - 1 Housing Starts 5-7 1717 175 17 1 7 1717 175 17 1 15
National Economic Trends updated through // Govt Consumption and Investment Billions of dollars Govt Current Receipts and Expenditures Percent of GDP 5 Total Expenditures 1 1 15 1 Total State & Local 5 Total Receipts Fed Expenditures Federal Fed Receipts 15 1 1 Government Budgets Billions of dollars National Income Accounts Calendar s Unified Budget Fiscal s Receipts State and Local Federal Federal Expenditures Surplus or Deficit (-) Receipts Expenditures Surplus or Deficit (-) Receipts Outlays Surplus or Deficit (-) 1 57 5 7 117 1-7 11 11-1 15 1-75 1155 15-551 1 15 1 151-1 157 11-15 7 1 15 15-17 151 1515-1 1 1 1175 5 15 15-11 15 15-17 17 17 15 1 151 17-55 157 11-1 1 11 1111 5 177 17 17 157 1 17 11 5 11 177 1 17 17 15 115 15 5 5 1 1 55 17 1 17 1 1 15 7 11 1 1 111 1-15 111-7 15 11-157 1 1515-17 51-7 175 11-77 15 15 15 75-7 1-17 5 171 1 5 55-17 15 7-1 111 175 1 51 711-1 7 55-7 1 1 1 51 5-577 7-115 151 15-1 57-51 5-5 7Q 1 17 5 1 55-11 175 7Q 155 17 - - 7Q 11 17-7 15-71 -1 Q1 1 175-5 75-7 5 757-5 Q 155-7 1-77 71 Q 1 5-1 557 1-51 57 757-1 Q 117 1-75 5 15-515 57 1-5 Q1 51 1-71 1
updated through // Federal Debt Percent of GDP 7 Total Percent of GDP National Economic Trends Federal Surplus (+) / Deficit (-) 5 - NIPA Held by Public - - Unified Budget - 1 Change in Federal Debt Percent of GDP 1 NIPA: Net government saving Federal Surplus (+) / Deficit (-), Unified Basis Billions of dollars, fiscal years 75 Total 5 5 Excl interest payments - Held by Public -5-5 Total - -75 1 1 Federal Government Debt Billions of dollars, end of month or fiscal year Excludes Agency-issued debt Total Public Debt Held by Agencies and Trusts Held by Public Federal Total Reserve Banks Held by Private Investors Foreign and Total International 57 7 7 7 7 77 5 5 77 7 7 17 15 51 7 5 5 March 777 5 57 717 55 15 June 75 57 77 17 September 77 11 1 7 1 December 17 55 71 7 7 March 71 7 755 11 5 June 775 7 17 September 57 7 7 7 December 77 1 77 11 15 7 March 7 75 55 7 71 17 June 77 7 75 15 1 September 77 5 5 77 7 7 December 51 7 57 5 March 7 1 51 51 7 575 June 7 55 7 September 17 15 51 7 5 December 1 7 77 75 5 15 17
National Economic Trends updated through /1/ Current Account, Trade and Investment Income Balances Billions of dollars, quarterly - - - - -1-1 -1-1 -1 - Current Account Investment Income Goods and Services Percent of GDP - - 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 - - - - -1-1 -1-1 -1 Exchange Rates, March 17 = 1 1 Yen/US$ 1 x (Ecu or Euro/US$) 75 1 1 5 1 Yen Major Currency 15 Euro Ecu 75 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 Goods Export Shares, Goods Import Shares, UK 1% Mexico 117% UK 7% Mexico 1% China 15% All Other % China 55% Japan 51% Germany % All Other 71% Japan 5% Germany % France % Other OECD 1775% Canada % France % Other OECD 11% Canada 15% 1
updated through // Trade Balance Billions of dollars -1 Goods Trade from year Exports National Economic Trends - - Goods and Services 1 Imports - -1 - - -7 Goods - 7 1717 175 17 1 - - 7 1717 175 17 1 Current Account Balance Billions of dollars Services Trade from year 5 - - -1-1 - 15 1 5-5 Exports Imports - 7 1 1717 175 17-1 7 1717 175 17 1 Real GDP Growth of Major Trading Partners Compounded annual s of change - - - - United Kingdom 7 7 - - - Germany 7 7 - - Canada 7 7 - - - France 7 7 - - -1-1 Japan 7 7 Mexico 1 - - -1 7 7 1
National Economic Trends updated through /15/ Output per Hour and Capacity Utilization, Manufacturing from year 15 1 Utilization Rate (level) Percent 5 7 Output/Hour -5 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 *Data from 17 to the present are on a NAICS basis; data prior to 17 are on an SIC basis and are not strictly comparable (see End Note) 5 Nonfarm Compensation per Hour from year 15 1 Nominal 5 Real -5 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 Output per Hour, Nonfarm Business and Nonfinancial Corporations from year Nonfinancial Corporations Nonfarm Business Sector - 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7
updated through // National Economic Trends Nonfarm Output per Hour Compounded annual s of change Manufacturing Output per Hour Compounded annual s of change - - - 7 1 1717 175 17-7 1 1717 175 17 Selected Component Shares of National Income Percent 15 Percent 75 1 11 7 Corpo Profits Proprietors' Income 7 71 7 5 Compensation 5 1 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1 Corpo Profits Percent of GDP 1 1 1 Profits (Before Tax) Profits (After Tax) 5 7 1 5 7 1 5 7 5 7 1 5 7 1 5 7 1
National Economic Trends updated through // Billions of $ Nominal GDP Billions of $ Real GDP Billions of $ Final Sales Change in Private Inventories Billions of $ Last qtr / 5 11 15 1755 1 117 1 111 111 1 7 175 115 1151-1 115157 11 11 1-1 15 11171 1 1117 51 5 177 111 55 1117 7 115 5 1 1 57 11157 1157 57 55 171 7 5 115 15 117 1 1 7 1 151 1157 1 1 117 11 1-15 75 1775 11151 1 115-1 11 15 5 1157 1151 1 11 11 117-1175 5-5 -1 1 115 5 7 115 5 11571 5-11 -15 15 1 1 117751 1 11777 5-555 -117 11 1171-5 7 117-1 1-5 -55 1-5 1 1157 - - 1155 - -7-57 - 1 1755-5 -5 1157-1 - 115 - -17-17 -5 Billions of $ Consumption Durables Consumption Billions of $ Private Fixed Investment Billions of $ Nonresidential Fixed Investment Billions of $ 5 7717 11 115 11 7 5 1151 5 15 1 1115 75 7 577 15 15-1 1 7115 115-1715 -5 151 1 1 771 1171 1 55 15 5 151 15 7 15 1171 1 17-5 115 7 7 11 5 5 155-7 11 5 77 11 7 17 171-7 -1 1-1 5 7 1 1717 1 17 171 - - 1 5 77 17 5 5 11-1777 1 7517 15 51 115 - - 17 7 5 1 1 155 171 - -1 1155 1 155 15 17-17 -5-5 15 1 1 1 1 - -11 175-17 - 111 5 5 - - 111-1 -55 1715-5 -7 15-17 1 175 - -15 11-1 -11 175 - - 117-17 -5 1 115-1 11-1 -7-11 117-7 -1
updated through // National Economic Trends GDP Chain Price Employment Cost ECI: Wages ECI: Benefits 5 11 1 5 117 11 11 11 7 111 7 15 1 155 15 15 1 17 17 1 1155 5 1 1 5 1 1117 7 5 11 11 11 1171 15 15 1 15 1177 1 1 1 1 1 7 1 115 1 1 7 1 5 11-1 1151 1 1 1 15 7 1 11 15 5 15 1 15 5 1 7 1 15 5 1 17 1 15 1 111 17 7 1 17 15 1151 11 17 1 1 15 11 1 11 175 5 1 5 11 1 1 1 7 17 15 1 1 11 1 1 7 1 7 11 7 15 Billions of $ Exports Billions of $ Imports Nonfarm Output per Hour Nonfarm Compensation per Hour 5 157 7 11 5 1 17 11 11 1 1515 151 1 7 151 171 17 1 175 1 151 1-5 15 1177 7 1 11 17 1 1 1 1 1 15 5 111 55 1 1 5 15 17 17 1 11 5 15 1 71 15-1 171 117 15 11 1517 1-17151 1 7 1 115 1 117 77 171 - -1 177 1 11 7 1-7 1 5 177 1 1 117 175 15 7 1755 7 15 15-11 1-5 17775 1 1551 51 11 1 - -1 15 5 17 7 5 157 1 11 1-7 -1 1 7 115 17 155 1 11-5 -5 117 1 57 15 - -1 111-175 -75 1157-15 5 1 1 11 - -11 151-1 -15
National Economic Trends updated through // Household Survey Employment Thousands Change Nonfarm Payroll Employment Thousands Change Nonfarm Aggregate Hours Monthly 1 1511 11 111 1 11 1 1 5 1171 7 1 1 17 17 1 77 1 1 1 15 7 15 1 11 17 157 11 17 1 15-1 -5 17-55 - 1-1 7 1 11 5 1 1 175 15 1 1 1 157 - - 1 17557 1 17 1 15 15 1 1755 1 1 17 1 175 1 1 177 15 1 1 11-17 - 17-57 - 5 175-1 -5 7 15-1 - 1 175 - -1-1 - - - 15 - -1-5 17-55 -15-11 -7 - -11 1-15 - -15 1577-177 -7-1 11-1 -7-1 1157 - -7-1 17 - -5-1 11 - -7-5 7 Mar 17 75 1 17 1 1 1 17 7 1 Apr 157 - -5 1 175 5 1 1 - - 11 May 1515 1 1751 15 1 1 17 5 5 1 Jun 157 1 1 1 175 5 5 1 175 1 11 1 Jul 157-5 -7 1 175-5 - 11 17 - - 1 Aug 157 - - 1755 - - 17-1 -11 1 Sep 1 71 1 175 1 17 1 11 1 Oct 157 - -7 1717 15 1 1 175 1 Nov 15 7 7 1 15 1 177 11 Dec 1-71 - 115 1 1 17 1 11 7 Jan 117 1-7 - 7 175 - - Feb 175 - - 1 17-1 -1 5 17 1 11 Mar 1-5 - - 171-1 -11 175-1 -11 Apr 157 1 175-1 -1 17-1 -11 5 May 157 - - 17517-17 -1-1 1-5 -5-5 Jun 157 - -1-175 -11-1 - 1-5 -55-1 Jul 155-1 -1-17 -1-11 - 1 - - -1 Aug 157 - - - 175-175 -15-1 -7 Sep 15 - - - 17-1 - -7 15 - - -1 Oct 157-7 - - 15 - - -11 15 - -7 - Nov 11-51 - -17 15755-57 -51-1 11 - - - Dec 1 - -5-157 -1-5 - 1 - - - Jan 1-1 - - 1-71 - -7 15-7 -7-7 Feb 117-51 - - 1-51 -57-1 11 - - -5 Mar 17-1 -71-5 11 - -5-5 1-1 -11-1
updated through // National Economic Trends Unempl Rate Retail and Food Services Sales Billions of dollars Monthly/ quarterly Industrial Production Monthly/ quarterly Treasury Yields (Percent) -mo 1-yr 55 1 1 5 17 7 5 51 7 17 15 7 5 17 7 7 7 5 1111 15 5 5 1-7 1-17 7 7 1 5 15 1 5 11 5 1 1 5 1111 5 11117 1 7 5 7 11 1 1117 5 1 1 7 11 1115 1 1 11-5 - 111 1 5 117551 11 1171-1 - - 1 1 1115-1 -5 11 - - - 1 11 - - - 157 - -17-7 5 1 1 15-1 -55 - -5 - -11 1 7 7 Mar 11 1 17 11 - - 1 5 Apr 5 557-7 -7 1115 7 1 7 May 5 7 1 15 1111 1 1 1 7 75 Jun 1-11 -11 111151 1 1 51 Jul 7 7715 5 1115 1 5 Aug 7 1 1111 1 1 7 Sep 7 7 1 1 1171 1 5 Oct 7 5 5 1111-5 -1 15 5 Nov 7 777 1 5 1151 71 7 15 Dec 7 - -11 11 7 17 1 Jan 7 - -5 11-1 - 75 7 Feb 71 - -5 115 - -1 11 1 7 Mar 51 75 5 1 1115 - -1 1 51 Apr 5 75 - - 1111 - -7-1 May 55 75 7 1 11 - - - 17 Jun 5 7 11 - -5-7 1 1 Jul 5 7-7 -5 17 117-1 - -1 1 1 Aug 71-5 -5 11 1157-11 -15-17 Sep 555-15 -17-15 17 - - - 11 Oct 557-1 -1-5 11 1 1-7 7 1 Nov 777-1 -1-1 -1-1 - 1 5 Dec 7 - -7-1 151 - -5 - Jan 7 17 17 1-1 15-1 - -17 1 5 Feb 1 1 7 - -15-1 -11 7 Mar 5 15-1 -1-7755 -15-1 -1 1 5
National Economic Trends Consumer Price Monthly/ quarterly to date Consumer Price less Food and Energy Monthly/ quarterly to date updated through /15/ Producer Price Finished Goods Monthly/ quarterly 1 7 1 1 15 5 15 155 15 5 5 1 7 7 17 1 15 1557 177 7 1 1 1 1 1 5 1 17 5 1 1 5 777 5 11 5 1 1 1 17 1 5 17 7 7 171 11 1 17 11 5 5 1 5 5 17 1 7 155 11 5 5 157 5 175 7 1 15 5 51 1 7 5 17 7 5 11 - - 15 15 1 17-51 -1 1 1 1 - - - - 175 15 17 15 17-1 - - 7 Mar 5 5 1 1 1 1 11 1 Apr 5 7 5 15 7 May 5 7 17 1 75 7 Jun 7 7 1 11 - -1 Jul 7 1 1 17 7 Aug 75 1 11 1 1 1115 1 17 1 1 - - Sep 51 1157 5 1 17 7 5 Oct 1 5 17 1 7 Nov 111 1 1 1 17 5 7 Dec 1177 11 171-5 -5 Jan 15 171 1 5 1 17 11 7 Feb 1 1 15 1 171 5 Mar 17 1 7 15 1 175 1 Apr 17 1 1 1 1 1 17 May 15 5 15 17 15 1 7 Jun 17 117 51 15575 5 11 1 17 Jul 11 7 1 5 5 11 5 1 1 171 7 Aug 157 - - 5 15 1 5 15-5 -57 Sep 175 5 17 1 1 5 1-1 -1 Oct 1 - - 7 175 - -1 177 - - 5 Nov 1-17 -1 1 1 1 1 17-7 - 1 Dec 11577 - -1-1 -1 1 1 17 17 17-1 -15-1 Jan 117-175 1 17 1 1711 1-1 Feb 17 1 1 177 1 171 1 1-1 Mar 171-1 -1-1 1 1 1-1 -11 -
National Economic Trends Notes Pages, 5: Final Sales is gross domestic product (GDP) minus change in private inventories Advance, Preliminary, and Final GDP Growth Rates are released during the first, second, and third months of the following quarter Changes result from incorporation of more complete information Real GDP is measured in dollars The ISM (formerly Purchasing Managers ) is a weighted average of diffusion indexes for new orders, production, supplier deliveries, inventories, and employment Aggregate and Average Weekly Hours are paid hours of production and nonsupervisory employees The Inventory-Sales Ratio uses nominal (current-dollar) inventory and sales data Page : For information on how to calculate the Contribution of a component to the overall GDP growth, see the October 1 issue of the Survey of Current Business, p 1 The sign is changed for Imports Page 7: Ten-year Treasury Yields are adjusted to constant maturity; threemonth yields are secondary market averages All s used in the yield curves are adjusted to constant maturity The -year constant maturity series was discontinued by the Treasury Department as of Feb 1, Standard and Poor s 5 with Reinvested Dividends shows the total return: capital gains plus dividends Pages, : Oil (West Texas intermediate) and Natural Gas (Henry Hub) spot and futures prices are listed in the Wall Street Journal Spot prices are monthly averages of daily prices; futures prices are usually taken from the last trading day of the month Consumer Price is for all urban consumers The Consumption Chain Price is the index associated with the personal consumption expenditures component of GDP The Employment Cost (ECI) covers private nonfarm employers ECI Compensation refers to a fixed sample of jobs, while Compensation per Hour covers all workers in the nonfarm business sector in a given quarter In both cases, compensation is wages and salaries plus benefits Pages 1, 11: Effective with the January Employment Situation, the establishment survey data for employment, hours, and earnings have been converted from the NAICS system to the 7 NAICS system For more information see http://wwwblsgov/ces/ Nonfarm Payroll Employment is counted in a survey of about, establishments (Current Employment Statistics) It excludes self-employed individuals and workers in private households, but double-counts individuals with more than one job The Household Survey (Current Population Survey) of about, households provides estimates of civilian employment, unemployment, labor force participation, and employment-population ratio Population is civilian, noninstitutional, 1 years and over The percent confidence intervals for the unemployment (± percentage points) and change in household survey employment (±,) measure uncertainty due to sample size Because the household survey was changed in January 1, data prior to this date are not strictly comparable The Bureau of Labor Statistics announced several revisions to the Household Survey on Feb 7,, with the release of the January data For more information, see <wwwblsgov/cps/> The Job Openings is the number of job openings on the last business day of the month as a percent of total employment plus job openings Page 1: The Michigan Consumer Sentiment shows changes in a summary measure of consumers answers to five questions about their current and expected financial situation, expectations about future economic conditions, and attitudes about making large purchases The survey is based on a representative sample of US households Page 15: Gross Private Saving is the sum of personal saving, undistributed corpo profits with IVA and CCAdj (see notes for pp 1-1), and private wage accruals less disbursements Gross Government Saving is net government saving (surplus/deficit) plus consumption of fixed capital Balance on Current Account (NIPA) is net capital transfer payments to the rest of the world plus net lending or net borrowing (international trade and income flows) Pages 1, 17: Government Consumption and Investment is current expenditures on goods and services, including capital consumption (depreciation) and gross investment, as reported in the NIPAs The Unified Federal Budget Surplus/Deficit differs from NIPA Basis in four main ways: (1) NIPA excludes transactions involving existing assets; () NIPA outlays exclude government investment and include consumption of government capital, while unified budget outlays do the reverse; () NIPA accounts exclude Puerto Rico and US territories; and () various timing issues are handled differently Outlays and Receipts are from the NIPAs, except as noted Since 177, the federal Fiscal starts on October 1 Excluded agency debt was percent of federal debt at the end of fiscal 17 Federal Debt Held by the Public includes holdings of the Federal Reserve System and excludes holdings of the social security and other federal trust funds Federal grants in aid to state and local governments appear in both state and local receipts and federal outlays Pages 1, 1: The Trade Balance (shown on a balance of payments basis) is the difference between exports and imports of goods (merchandise) and services It is nearly identical in concept to the Net Exports component of GDP, but differs slightly in accounting details The Investment Income Balance equals income received from US-owned assets in other countries minus income paid on foreign-owned assets in the US The investment income balance is nearly identical in concept to the difference between gross national product and gross domestic product, but differs in accounting details The Current Account Balance is the trade balance plus the balance on investment income plus net unilateral transfers to the US from other countries Pages, 1: Output per Hour (Y/H), Unit Labor Cost (C/Y), and Compensation per Hour (C/H) are indexes which approximately obey the following relationship: %(Y/H) + %(C/Y) = %(C/H) with %() meaning percent changes Unit labor cost is shown on page Real Compensation per Hour uses the CPI to adjust for the effects of inflation Nonfarm business accounted for about 77 percent of the value of GDP in, while nonfinancial corporations accounted for about 5 percent Inventory Valuation Adjustments (IVA) remove the effect of changes in the value of existing inventories from corpo profits and proprietors income (This change in value does not correspond to current production and therefore is not part of GDP) Capital Consumption Adjustments (CCAdj) increase profits and proprietors income by the difference between estimates of economic depreciation and depreciation allowed by the tax code Components of national income not shown are rental income of persons and net interest Sources Bureau of Economic Analysis (BEA), US Dept of Commerce National income and product accounts, international trade and investment data (except by country), auto and light truck sales Census Bureau, US Dept of Commerce Inventory-sales ratios, retail sales, capital goods orders, housing starts, exports and imports by country Bureau of Labor Statistics (BLS), US Dept of Labor All employment-related data, employment cost index, consumer and producer price indexes, unit labor cost, output per hour, compensation per hour, multifactor productivity United States Department of Treasury Unified budget receipts, outlays, deficit, debt Federal Reserve Board of industrial production, treasury yields, exchange s, capacity utilization, household debt The Survey Research Center, The University of Michigan Consumer sentiment index Organization for Economic Cooperation and Development (OECD) GDP for major trading partners (not available on FRED) 7