May Personal Income & Consumption
Consumers continue to rally. Real consumption is now on track for a robust +4.5% gain in 16Q2. Even with the downward revision to 16Q1, consumption averaged a healthy +3% annualized in the first half. The consumer will hold close to this pace in 2016-H2 amid respectable job/income gains, and tracking +2.75 % real GDP growth for 16Q2.