US: Annual core PCE Price Index rose to 1.8% in August as expected
- Annual core PCE Price Index rose to 1.8% as expected.
- Personal income increased 0.4% on a monthly basis in August.
- US Dollar Index stays near the 99.20 mark after the data.
According to the data published by the United States (US) Bureau of Economic Analysis (BEA) on Friday, the Personal Consumption Expenditures (PCE) Price Index stayed unchanged on a monthly basis in August and caused the annual rate to remain steady at to 1.4%.
Further details of the report revealed that the core PCE Price Index, which excludes volatile food and energy prices, rose to 1.8% on a yearly basis from 1.7% (revised from 1.6%) in July and came in line with the market expectation but stayed below the Federal Reserve's target rate of 2%.
Moreover, the BEA said that personal spending rose only 0.1% on a monthly basis in August and fell short of analysts' estimate of 0.3%. On a positive note, personal income increased 0.4% in the same period as expected.
The US Dollar Index largely ignored the data and was last virtually unchanged on the day at 99.18.
Author
Eren Sengezer
FXStreet
As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.
