The U.S. Personal Consumption Expenditures (PCE) price index, a key gauge of consumer inflation closely watched by the Federal Reserve, declined by 0.1% month-over-month in June 2026, according to data updated on 30 July 2026. This marks a sharp reversal from May 2026, when the index increased by 0.4% over the previous month.
On a month-over-month basis, the June reading shows prices not only slowing but actually falling compared with May, signaling a potential easing of inflationary pressures in the U.S. economy. By contrast, May’s 0.4% rise reflected a relatively firm pace of price growth from April to May.
The shift from a positive 0.4% change in May to a negative 0.1% change in June will likely draw attention from policymakers and markets, as it may influence expectations for the future path of interest rates and the broader monetary policy stance. The figures compare each month’s change in prices with the previous month, highlighting a notable short-term cooling in consumer price dynamics.
