2023-11-30 13:43:00
Growth in U.S. personal consumption expenditures (PCE) in October slowed from the previous month as inflation continued to slow. This suggests that the economy is shifting to a lower gear.
Key Points PCE core price index rises 0.2% month-on-month Market forecast also rises 0.2% Last month rises 0.3% Year-on-year rise 3.5% (in line with expectations) PCE rises 0.2% month on month (in line with expectations) Adjusted for inflation Real PCE increased by 0.2% from the previous month Market forecast increased by 0.1% Previous month was revised downward to increase by 0.3% Personal income increased by 0.2% from the previous month
The PCE Composite Price Index was unchanged from the previous month, with market expectations for a 0.1% increase. This was a 3% increase compared to the same month last year, which was lower than the market expectation of a 3.1% increase.
The latest PCE data is consistent with expectations that the U.S. economy will slow in the fourth quarter from October to December (fourth quarter) following recording the highest growth in regarding two years in the previous quarter. With demand cooling, the U.S. Federal Reserve is likely to become more confident that inflationary pressures will continue to subside, supporting expectations that interest rate hikes will be halted.
See table for detailed statistics.
Original title:US Consumer Spending, Inflation Slow in Sign of Cooling EconomyUS Oct. Personal Spending Rose 0.2% M/m; Est. 0.2% (excerpt)
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