PCE inflation hit 4.1% in May 2026, the highest in three years. Core PCE rose to 3.4% as Bitcoin tested $59K support amid growing rate hike expectations.

The personal consumption expenditures price index was expected to show a 4.1% annual increase.

PCE inflation rose further in May, reinforcing bets the Fed hikes rates by October as Chair Kevin Warsh keeps policy tight to cool prices.