Summary:
September's Core PCE rose 2.7%, slightly above the 2.6% forecast, reinforcing the case for slower interest rate cuts after a large reduction.
PCE price index Oct
27/11/2024 (Wed)
Previous: 2.7% Forecast: 2.8%
Core PCE pride index came in at 2.7% in September, slightly higher than expectations of 2.6%. bolstering the case for a slower pace of interest-rate cuts following an outsized reduction.
Meanwhile, overall inflation was 2.1%, the lowest since early 2021. Inflation-adjusted consumer spending advanced 0.4%, an acceleration from the prior month supported by continued growth in wages and salaries.
One bright spot was a drop of 4% in the cost of gasoline and other motor fuels, and consumers spent just 3% of wages and salaries on the category, the least since early 2021.
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