The Core Personal Consumption Expenditures (PCE) Price Index report for May, which is the Fed's preferred inflation indicator, was announced by the Bureau of Economic Analysis (BEA).
United States PCE Price Index (YoY) (May)
- Actual: 3.8%
- Expected: 4.6%
- Previous: 4.3%
United States Core PCE Price Index (YoY) (May)
- Realized: 4.6%
- Expected: 4.7%
- Previous: 4.7%
Bitcoin's post-data reaction:
The post-data reaction of the dollar index:
The PCE Price Index was forecast to rise 4.6% year-on-year in May, slightly stronger than the 4.4% increase recorded in April. The Core PCE Price Index, which excludes volatile food and energy prices, was expected to hold steady at 4.7%, up 0.4% month on month.
After the June policy meeting, the FED kept the policy rate unchanged at 5%-5.25%. At the press conference held after the meeting, FOMC Chairman Jerome Powell said that suspending interest rate hikes does not mean that the final rate has been reached.
Speaking at a policy panel at the European Central Bank's Central Banking Forum this week, Powell reiterated that the vast majority of Fed policymakers expect two or more rate hikes this year, saying that strong labor market conditions will allow them to continue tightening policy.
*Not investment advice.
