Fed officials use the PCE measure as their main baseline to gauge inflation, which continues to run above the central bank's 2% long-range target.
An important gauge for the Federal Reserve showed inflation eased slightly from a year ago in June, helping to open the way for a widely anticipated September interest rate cut.
Core inflation, which excludes food and energy, showed a monthly increase of 0.2% and 2.6% on the year, both also in line with expectations.
Goods prices fell 0.2% on the month, while services increased 0.2%.
The report also indicated that personal income rose just 0.2%, below the 0.4% estimate.
Persons:
Dow Jones
Organizations:
Commerce Department, Federal Reserve, Fed