Inflation Remains a Concern
While growth figures paint a rosy picture, inflation indicators warrant attention. The price index for gross domestic purchases increased by 2.4%, slightly higher than previously estimated. The personal consumption expenditures (PCE) price index, a key inflation measure watched by the Federal Reserve, rose by 2.5%. Even when excluding volatile food and energy prices, the core PCE price index climbed 2.8%, indicating persistent inflationary pressures.
Mixed Signals in Personal Finance
Current-dollar personal income saw a substantial increase of $233.6 billion in Q2, with disposable personal income rising by 3.6%. However, when adjusted for inflation, real disposable personal income growth was more modest at 1.0%….
Read More
