#USCorePCEMay 2025 (year on year):
Result: 📉 2.6%
Estimated: 2.6%
Previous (April): 2.8%
📈 Core PCE monthly (m/m):
Result: ✅ 0.1%
Estimated: 0.1%
Previous (April): 0.2%
🔍 What does this mean?
Clear slowdown of underlying inflation in May.
Aligns with market expectations.
Reinforces bets on rate cuts by the Fed in September or October.
📉 Market reaction (post-release):
Treasury bonds: Yields fell slightly.
Dollar: Weakened against other currencies.
Stock market (S&P 500 / Nasdaq): Slight rise, as lower Core PCE suggests less pressure to keep rates high.