Release of the preferred inflation gauge data by the U.S. Federal Reserve and markets react

A report released by the Bureau of Economic Analysis at the U.S. Department of Commerce on Friday showed that consumer spending in the United States unexpectedly fell during May, as the impact of proactive purchases made by households for items such as cars ahead of tariff imposition faded, while monthly inflation increases remained moderate.

The "Core Personal Consumption Expenditures" (PCE Core) index, which excludes food and energy costs and is a key indicator closely monitored by the Federal Reserve, recorded an increase of 2.7%, exceeding expectations and the recorded rate in April of 2.6%.

On a monthly basis, core prices rose by 0.2% in May compared to the previous month, while experts had expected an increase of about 0.1%, similar to the rate recorded in April.