Breaking: US Core PCE Inflation Steady at 2.7% in September, Exceeding Expectations

The US Bureau of Economic Analysis (BEA) reported that core PCE inflation, which excludes food and energy prices, held steady at 2.7% on a yearly basis in September, surpassing the market's expectation of 2.6%. On a monthly basis, the core PCE Price Index increased by 0.3%, aligning with forecasts and reflecting persistent underlying inflationary pressures.

The headline PCE Price Index, a broader measure of inflation, showed a slight annual decrease to 2.1% from 2.2% in August, meeting market predictions. Month-over-month, the index rose by 0.2%, also as expected, indicating a steady pace in consumer price growth.

Following the release of the PCE data, the US Dollar came under mild bearish pressure, with the US Dollar Index dipping by 0.2% to 103.88. Market participants are closely analyzing these figures for their implications on future Federal Reserve policy, as core PCE inflation remains a key gauge of economic health and consumer spending.