THE FEDERAL RESERVE SYSTEM SAYS:
The latest reading of the Federal Reserve’s preferred inflation gauge showed price increases accelerated in June as inflation remained above the Fed’s 2% target.
The “core” Personal Consumption Expenditures (PCE) index, which strips out food and energy costs and is closely watched by the central bank, rose 0.3% from the prior month, in line with the 0.3% economists had expected and above the 0.2% increase seen in May.
On an annual basis, core prices rose 2.8%, above the 2.7% economists had expected and in line with May’s reading. May’s 2.8% reading was revised higher from an initially reported 2.7% increase.
The release comes just one day after the Fed opted to hold interest rates steady at its July meeting with Fed Chair Jerome Powell stressing its still the “early days” of any tariff impact on inflation and there is still “a long way to go” before the full effects will be clear.
TRUMP SAYS:
Donald Trump:
“Inflation, I’ve already taken care of. Prices are way down for everything. Groceries, everything.”
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pic.twitter.com/2Q3EK4Bty3— Lucas Sanders 💙🗳️🌊💪🌈🚺🟧 (@LucasSa56947288) July 30, 2025