The PCE-based Ecumenical Underlying Inflation measure was 2.6% in May, much higher than the CPI based one. Pretty much all the measures agree--the last three months have been very tame but everything before that was not. pic.x.com/SGeZC7Mwok

Core PCE inflation came in just as expected. It has been very tame for the last three months--but shouldn't think of them in isolation but as part of a noisy process where inflation was much higher before. Annual rates: 1 month: 2.2% 3 months: 1.7% 6 months: 2.9% 12 months: 2.7% pic.x.com/aC8vJYJWy1

A combination of weaker activity and stubborn inflation is the message from today's US data so far. Monthly growth for both personal income and spending was negative in May, and below the consensus forecasts. Core inflation was slightly above the consensus forecasts for both the

Core PCE inflation was +0.18% in May. 12-month core prices rose 2.7% from 2.6% in April (and April was revised up from an initially reported 2.5%). Headline prices rose 0.14% in May. The 12-month reading ticked up to 2.3% (from 2.2% in April, revised up from 2.1%) pic.x.com/viQeYrI5Rl