U.S. annual consumer spending data will be delayed, with the U.S. Bureau of Labor Statistics "rarely" refusing to explain the reason.

The U.S. Bureau of Labor Statistics has postponed an annual report that is crucial for future inflation data at a time when concerns about the accuracy and politicization of key U.S. economic data are escalating. On Friday, the U.S. Bureau of Labor Statistics suddenly announced that the 2024 annual consumer spending data, which was originally scheduled to be released next Tuesday, will be "rescheduled to a later date." The U.S. Bureau of Labor Statistics did not explain the reason for the postponement, nor did it provide a new release schedule, only stating that users will be notified when there is more information. Around September each year, the U.S. Bureau of Labor Statistics releases the annual average spending data for the previous year, for example, the data for 2023 was released in September 2024, showing that the average spending per consumer unit was $77,280 (an increase of 5.9% from 2022), and pre-tax income grew by 8.3%. This annual report is the only household survey data provided by the U.S. government that provides complete information on consumer spending and income, covering consumer activities, spending, income, and demographic information. More importantly, this data is used to determine the weight of specific goods and services in the consumer price index for the following year. Rare delay without explanation The delay in this release has attracted market attention mainly because of its "unusual" silence. The U.S. Bureau of Labor Statistics only mentioned the delay in the announcement, but did not provide any background explanation, and the U.S. Department of Labor (the parent department of the Bureau of Labor Statistics) has not commented on the matter either. Analysts point out that this is in stark contrast to the situation last year. Omair Sharif of Inflation Insights stated in an email that last year, this report was also delayed, but at that time the U.S. Bureau of Labor Statistics clearly stated the new release date and explained that the delay was due to the need to correct an error. He added, "Today's announcement did not provide any information about the reason for the delay or the release date, which is a bit strange." However, Omair Sharif also analyzed, "Ultimately, if the annual data can be finalized before the end of the year, there should be sufficient time to include new weights in the January 2026 CPI when it is released in mid-February 2026." Former Commissioner of the U.S. Bureau of Labor Statistics, William Beach, believes that the delay may simply be because "the release work is not fully prepared yet" and calls it a "tricky data release." However, he also warned, "If there is further delay, then I would be concerned." U.S. statistical agencies face personnel shortages and political pressure The U.S. Bureau of Labor Statistics is facing challenges of political pressure, personnel shortages, and limited resources. Last month, after a significant revision in U.S. employment data confirmed a slowdown in the labor market, President Trump dismissed then-Commissioner Erika McEntarfer. The White House subsequently nominated economist E.J. Antoni to lead the agency, but some prominent conservative economists criticized the nomination as a partisan appointment and questioned his professional qualifications. Earlier this month, the Office of Inspector General within the Department of Labor launched an investigation into the economic data collection work of the U.S. Bureau of Labor Statistics, citing that the agency "encounters challenges in collecting and reporting highly-watched economic data." McEntarfer, who was just dismissed this week, said at an event, "I think we all now have concerns about the future of national economic data. I can vouch for the accuracy and independence of the work I did at the agency before being dismissed, but for the future, it is an uncertain time." In addition to the shadow of political intervention, the agency faces immense pressure due to personnel shortages, limited resources, and budget cuts. Reportedly, due to personnel and budget issues, the U.S. Bureau of Labor Statistics has already reduced data collection work in certain CPI categories and specific regions. Furthermore, the U.S. statistical agencies are generally facing a sharp decline in response rates to surveys, which seriously undermine the accuracy of data on employment, among other things. It is reported that the U.S. Bureau of Labor Statistics is seeking to hire additional personnel to strengthen price data collection work in major metropolitan areas. This article is sourced from Wall Street View, author Bai Yilong; edited by GMTEight: Wenwen.