The Commerce Department reported on Friday that consumer spending in the U.S. rose 0.4 percent m-o-m in November, following an unrevised 0.3 percent m-o-m gain in October. Economists had forecast the reading to show a 0.4 percent m-o-m growth.

Meanwhile, consumer income climbed 0.5 percent m-o-m in November, following a revised 0.1 percent m-o-m gain in the previous month (originally flat m-o-m). Economists had forecast a 0.3 percent m-o-m advance.

The November advance in personal income primarily reflected gains in compensation of employees, farm proprietors' income, and personal interest income.

The personal consumption expenditures (PCE) price index, excluding the volatile categories of food and energy, which is the Fed's preferred inflation measure, edged up 0.1 percent m-o-m in November, the same pace as in the prior month. Economists had projected the index would rise 0.1 percent m-o-m.

In the 12 months through November, the core PCE increased 1.6 percent, following a revised 1.7 percent growth in the 12 months through October (originally a 1.6 percent increase). Economists had forecast a gain of 1.6 percent y-o-y.