US PCE Meets Forecasts, Consumption Remains Strong
US inflation, as measured by the Personal Consumption Expenditures (PCE) Price Index, was stable at 2.8% in February, in line with market expectations, according to a report from the US Bureau of Economic Analysis (BEA) on Thursday. On a monthly basis, the PCE price index rose 0.4%, also in line with expectations.
Meanwhile, core PCE, the Federal Reserve's preferred inflation measure, fell slightly to 3.0% from 3.1% in January, indicating that core price pressures have eased somewhat, although the monthly pace remains relatively high. Excluding inflation, the same report showed that personal income fell 0.1% (month/month) while personal spending rose 0.5%, a combination that suggests consumption remains strong despite weakening income growth—a dynamic that could keep the market focused on how quickly inflation actually cools. (gn)
Source: Newsmaker.id
