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US DATA PREVIEW
US DATA PREVIEW: Our Data Analysis team look at tomorrow's US PCE numbers,
writing that there is an upside risk to US core PCE price index:
-Markets have a history Of underestimating core PCE Price Index.
-PCE price index Y/Y could reach Fed target. A 2.0% turnout would be the first
time since April 2012.
-Retail Sales suggest spending was strong. The jump in May retail sales was
boosted by underlying strength in the core retail sales categories, which feed
directly into PCE. 
-Savings rate could continue downward trend. The large 0.8% gain in retail sales
suggesting no pull back in spending.
-Energy to bolster PCE. The already released 0.9% gain for May CPI energy
suggests another month/month gain for PCE price index energy goods and services,
albeit weaker than the month prior when CPI energy rose 1.4% and PCE price index
energy rose 1.5%.
See MainWire for access or contact sales@marketnews.com

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