Personal income increased 0.2% month-over-month in July (Briefing.com consensus 0.3%) following a 0.3% increase in June.

Personal spending jumped 0.8% month-over-month (Briefing.com consensus 0.7%) following an upwardly revised 0.6% increase (from 0.5%) in June.

The PCE Price Index was up 0.2% month-over-month and so was the core-CPE Price Index, both of which were in-line with expectations. On a year-over-year basis, however, the inflation readings moved in the wrong direction. The PCE Price Index was up 3.3%, versus 3.0% in June, while the core-CPE Price Index was up 4.2%, versus 4.1% in June.

Real disposable personal income decreased 0.2% month-over-month in July and was up 3.8% year-over-year versus 4.9% in June.

Real personal spending increased 0.6% month-over-month and was up 3.0% year-over-year versus 2.4% in June.

Prices for goods decreased 0.3% month-over-month and prices for services increased 0.4%.

The personal savings rate as a percentage of disposable personal income decreased to 3.5% from 4.3% in June. That is the lowest savings rate this year.

Wages and salaries increased 0.4% month-over-month following a 0.6% increase in June.

income was up 1.1% month-over-month after a 0.4% increase in June.

Personal current transfer receipts declined 0.6% month-over-month following a 0.3% decline in June.

Personal interest income increased 0.3% following a 0.6% increase in June.

The key takeaway from the report would have to be the uptick in the year-over-year inflation readings. They weren't of the eye-popping variety; however, they should catch the Fed's eye as a basis not to cut rates anytime soon.