The post US Core PCE Holds at 2.9% in July, Matches Forecasts appeared on BitcoinEthereumNews.com. Key Insights: Core PCE inflation rose to 2.9% in July, up from June’s 2.8%, meeting forecasts. Consumer spending grew 0.5% while personal income increased 0.4%, both aligning with market expectations. Markets anticipate a Fed rate cut in September as inflation holds above the 2% target. US Core PCE Holds at 2.9% in July, Matches Forecasts Core inflation in the United States rose to 2.9% in July, according to the Commerce Department. The figure matched forecasts and was slightly higher than June’s 2.8%. Inflation Stays Above Fed Target The core personal consumption expenditures (PCE) price index, which excludes food and energy, is the Federal Reserve’s preferred inflation gauge. July’s 2.9% reading remains above the Fed’s 2% goal, keeping inflationary pressure in focus. On a monthly basis, the core PCE index increased 0.3%. The broader PCE index, which includes food and energy, climbed 2.6% over the year and 0.2% from the previous month. Energy prices fell 2.7% from a year earlier, while food prices were up 1.9%. Services prices rose 3.6% annually compared with a 0.5% increase for goods. Spending and Income Growth Consumer spending rose 0.5% in July, meeting expectations and showing continued resilience. Personal income increased 0.4%, also in line with forecasts. On a monthly breakdown, energy costs dropped 1.1% and food slipped 0.1%. Services prices gained 0.3%, offsetting a 0.1% decline in goods. Fed Policy and Market Outlook The Federal Reserve targets 2% inflation as part of its long-term mandate. Core PCE is viewed as a better guide than the headline measure because it strips out volatile items. Market expectations point to another interest rate cut when the Fed meets next month. Fed Governor Christopher Waller said he would consider a larger move if labor market data weakens further. Ellen Zentner, chief economic strategist at Morgan Stanley Wealth Management,… The post US Core PCE Holds at 2.9% in July, Matches Forecasts appeared on BitcoinEthereumNews.com. Key Insights: Core PCE inflation rose to 2.9% in July, up from June’s 2.8%, meeting forecasts. Consumer spending grew 0.5% while personal income increased 0.4%, both aligning with market expectations. Markets anticipate a Fed rate cut in September as inflation holds above the 2% target. US Core PCE Holds at 2.9% in July, Matches Forecasts Core inflation in the United States rose to 2.9% in July, according to the Commerce Department. The figure matched forecasts and was slightly higher than June’s 2.8%. Inflation Stays Above Fed Target The core personal consumption expenditures (PCE) price index, which excludes food and energy, is the Federal Reserve’s preferred inflation gauge. July’s 2.9% reading remains above the Fed’s 2% goal, keeping inflationary pressure in focus. On a monthly basis, the core PCE index increased 0.3%. The broader PCE index, which includes food and energy, climbed 2.6% over the year and 0.2% from the previous month. Energy prices fell 2.7% from a year earlier, while food prices were up 1.9%. Services prices rose 3.6% annually compared with a 0.5% increase for goods. Spending and Income Growth Consumer spending rose 0.5% in July, meeting expectations and showing continued resilience. Personal income increased 0.4%, also in line with forecasts. On a monthly breakdown, energy costs dropped 1.1% and food slipped 0.1%. Services prices gained 0.3%, offsetting a 0.1% decline in goods. Fed Policy and Market Outlook The Federal Reserve targets 2% inflation as part of its long-term mandate. Core PCE is viewed as a better guide than the headline measure because it strips out volatile items. Market expectations point to another interest rate cut when the Fed meets next month. Fed Governor Christopher Waller said he would consider a larger move if labor market data weakens further. Ellen Zentner, chief economic strategist at Morgan Stanley Wealth Management,…