The US Personal Consumption Expenditures (PCE) price index rose 0.4% month-over-month in April 2026, coming in below market expectations of a 0.5% increase and following a 0.7% gain in March. Goods prices advanced 0.7%, easing from a 1.4% rise in March, while services inflation held steady at 0.3%.
The core PCE index, which excludes food and energy, increased 0.2% in April after a 0.3% rise in March. On a year-over-year basis, headline PCE inflation accelerated for the second consecutive month, climbing to 3.8% from 3.5% in March. This marks the highest reading since May 2023 and brings it in line with headline CPI inflation. Core PCE inflation also edged up, reaching 3.3% from 3.2%, its highest level since late 2023.
