Is US Inflation Beginning to Peak?

While the PCE Price Index has traditionally been thought of as the Fed’s preferred inflation gauge, recent comments from Chair Powell indicate that US central bank is taking other readings into account.

Nevertheless, it is worth noting that Thursday’s Core PCE print was softer-than-expected.

The market is widely expecting another 75bps hike from the Fed in July, but with the FOMC Meeting only scheduled at the end of the month, further indications of inflation easing over the coming weeks may boost speculation that they have reached peak hawkishness.

Check out our latest article for a deeper analysis into what this could mean for the US Dollar: