The Federal Reserve’s preferred measure of underlying US inflation rose at a mild pace in June and consumer spending remained firm, encouraging signs for officials looking to cool inflation without breaking the economy.
The so-called core personal consumption expenditures price index, which strips out volatile food and energy items, increased 0.2% from May. From a year ago, it rose 2.6%, according to Bureau of Economic Analysis data out Friday.
Inflation-adjusted consumer spending rose 0.2%, while May’s increase was revised higher.
