May Inflation Data Mark Progress for the Federal Reserve

The personal-consumption expenditures price index, published by the Bureau of Economic Analysis on Friday, showed a 0% increase in May in the Federal Reserve’s preferred inflation measure. The core PCE price index, which excludes food and energy components, rose less than 0.1% in May and was also up 2.6% year over year. "This is the lowest monthly core inflation increase that we’ve seen this year and it furthers the narrative that the disinflationary trend that stalled during the first quarter is back to life again,” wrote Olu Sonola, head of U.S. economic research at Fitch Ratings.