FX.co ★ US PCE Prices Rise More than Expected

The US PCE price index rose 0.2% month-over-month in July 2026, exceeding market expectations of a 0.1% gain and reversing a 0.1% decline in June. Services inflation picked up to 0.3% from 0.1% in the prior month, while goods prices fell 0.1%, a smaller drop than June’s 0.6% decline. Core PCE inflation, which excludes food and energy, increased 0.2% as anticipated, following a 0.1% rise in June. On a year-over-year basis, headline PCE inflation was unchanged at 3.7%, above the 3.6% consensus forecast, and core PCE inflation also held steady at 3.3%, in line with expectations.