U.S. personal income fell for the first time in more than three years in January as dividends and interest payments dropped.
A report from the Commerce Department on Friday also said inflation pressures remained in check. Personal income slipped 0.1 percent in January, the first decline since November 2015, after jumping 1.0 percent in December. Income was weighed down by decreases in dividend, farm proprietors' and interest income. Wages increased by a moderate 0.3 percent in January after rising 0.5 percent in December.
Households held back on buying cars and recreational goods in December, leading to a 1.9 percent plunge in spending on goods. Spending on goods increased 1.0 percent in November.