US PCE falls to 3.8% in May

June 30, 2023 (MLN): The U.S. personal consumption expenditure (PCE) for the month of May 2023 clocked in at 3.8% YoY, compared to 4.4% YoY in April, the latest data issued by the U.S. Bureau of labor statistics on Friday showed.

It is worth noting that PCE has fallen below 4% for the first time since May 2021.

Whereas, in the last year, in May 2022, the PCE was 6.3% YoY.

On a sequential basis, US PCE went up by 0.1% MoM, lower than the 0.4% MoM increase in the previous month.

Meanwhile, core PCE stands at 4.6% YoY.

PCE is an indicator of inflation, which measure the prices that people living in the United States, or those buying on their behalf, pay for goods and services.

The PCE price index is known for capturing inflation (or deflation) across a wide range of consumer expenses and reflecting changes in consumer behavior.

PCE is released each month, whereas, quarterly and annual data are included in the GDP release.

Copyright Mettis Link News