Tonight's PCE and core PCE data were both below expectations, especially the core PCE month-on-month at 0.1%, far lower than the previous value of 0.3%, which can partly alleviate market concerns about a sustained rebound in inflation. It reminds me of the ISM non-manufacturing data on August 5th at 8:30 PM, when the PMI data, which was higher than the previous value and expectations, pulled the market back from its volatile state that day.
