US Core PCE Inflation Declines to 3.7% as Spending Tops Estimates

The US Bureau of Economic Analysis reported that inflation in the US, as measured by the change in Personal Consumption Expenditures (PCE) Price Index, was 3.4% on a yearly basis in September, matching the August reading and meeting market expectations. The annual Core PCE Price Index, the Federal Reserve's preferred gauge of inflation, rose 3.7%, slightly softer than the previous month. Personal Spending increased by 0.7% on a monthly basis in September, while Personal Income rose by 0.3%. The US Dollar's valuation remained relatively stable following the release of the inflation data.