Last night, the market, US stocks, cryptocurrency, gold, futures, and funds all experienced a broad decline. The reason for the drop is that the PCE inflation indicator in the US rose again, and consumer spending has rebounded once more. This may affect the Federal Reserve's caution when it comes to lowering interest rates!
The core PCE price index is just a tiny bit higher than the 2% target set by the Federal Reserve. You see, actual income only increased by 0.1%, but after accounting for inflation, consumer spending suddenly rose by 0.4%, and the savings rate has dropped to 4.6%. Once this economic data came out, the good trend from the past month was completely lost.
