2025-08-29
PCE price index July
29/8/2025 (Fri)
Previous: 2.8% Forecast: 2.9%
The June PCE price index posted a stronger-than-expected increase of 2.8%, above analyst expectations of 2.7%, which supports views that price pressures would pick up in the second half of the year.
Thanks to tariffs, prices for furnishings and durable household equipment jumped 1.3%, the biggest gain since March 2022, while recreational goods and vehicles prices shot up 0.9%, the most since February 2024.
Consumer spending rose 0.3% in June after being unchanged in May. Economists expect pressure from tariffs and a slowing labour market will put a brake on consumer spending in the third quarter.
Disclaimer: This material is for general information purposes only and is not intended as (and should not be considered to be) financial, investment or other advice on which reliance should be placed. No opinion given in the material constitutes a recommendation by EBC or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person.