! ! ! Heavy predictions! ! !

! ! ! Heavy predictions! ! !

PCE inflation in the United States cooled down in May, and the Federal Reserve received good news

According to the latest report, market analysts boldly predicted: The US PCE inflation rate in May finally slowed down! This is the lowest increase since the beginning of this year! This is great news for the Federal Reserve!

Gasoline prices have fallen, commodity inflation has generally cooled down, and the economy seems to have temporarily "taken a breath". But don't forget that some stubborn inflation factors are still working secretly to put pressure on inflation indicators. There may be unfavorable variables in the second half of this year.

Specifically, analysts expect the core PCE monthly rate in May to slow to 0.1%, which is the slowest pace this year! The annual rate is also expected to drop to 2.6%, which is the lowest level since March 2021. Overall PCE inflation is also close to 0.1%, with a year-on-year growth rate of 2.6%.

Although the Federal Reserve has temporarily breathed a sigh of relief, the wild horse of inflation has not been completely tamed. The Fed needs to keep its eyes open and be ready to adjust its strategy at any time. This inflation war is still to come!