US personal income rose strongly by 0.6% in January, above expectation of 0.3% mom. Spending, however, rose 0.2%, missed expectation of 0.3%. Headline PCE accelerated to 1.7% yoy, up from 1.5% yoy, matched expectations. Core PCE also accelerated to 1.6% yoy, up from 1.5% yoy, but missed expectation of 1.7% yoy.
Goods trade deficit dropped -4.6% to USD -65.5B in January, smaller than expectation of USD -68.5B. Goods exports dropped USD -1.4B to USD -135.7B. Imports dropped USD -4.6B to USD 201.2B. Wholesale inventories dropped -0.2% in January versus expectation of -0.6% .