The Commerce Department announced on Friday that consumer spending in the U.S. rose 0.3 percent m-o-m in April, following a revised 1.1 percent m-o-m surge in March (originally a 0.9 percent m-o-m increase). Economists had forecast the reading to show a 0.2 percent m-o-m growth. 

Meanwhile, consumer income climbed 0.5 percent m-o-m in April after an unrevised 0.1 percent m-o-m gain in the previous month. That was the biggest monthly advance since December 2018. 

The April increase in personal income primarily reflected gains in personal interest income, wages and salaries, and government social benefits to persons, the report said.

The personal consumption expenditures (PCE) price index, excluding the volatile categories of food and energy, which is the Fed's preferred inflation measure, rose 0.2 percent m-o-m in April, following a 0.1 percent m-o-m advance in the prior month. Economists had projected the index would increase 0.2 percent m-o-m.

In the 12 months through April, the core PCE increased 1.6 percent, accelerating from a revised 1.5 percent gain in the 12 months through March (originally a 1.6 percent advance). Economists had forecast a gain of 1.6 percent y-o-y.