Energy prices were the driving factor in June’s slowing inflation as talks of a peace deal between the United States and Iran gained momentum. Prices for gasoline and energy goods fell by 9.2%, marking the largest decrease since August 2022. File Photo by Bonnie Cash/UPI | License Photo
July 30 (UPI) -- Personal consumption expenditures, the Federal Reserve's preferred marker of inflation, fell for the first time in six years in June, the U.S. Bureau of Economic Analysis reported Thursday.
The PCE index fell by 0.1% for the month while personal income rose by 0.2%. The measure shows cooling inflation, though economists are skeptical that it will hold.
The annual rate of inflation increased by 3.7% over a year ago, though it slowed compared to May's annual rate of 4.1%. Excluding volatile food and energy, June's annual index increased by 3.3%.
Energy prices were the driving factor in June's slowing inflation as talks of a peace deal between the United States and Iran gained momentum. Prices for gasoline and energy goods fell by 9.2%, marking the largest decrease since August 2022.
