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PCE Supercore Strongest Since January, Strong Profile Of Downward Q2 Revision

US DATA
  • Core PCE inflation was in line for July as it increased 0.216% M/M (cons 0.2) after an upward revised 0.21% in June (initial 0.16%) in what’s about as strong an outcome for the historical data considering the already known net downward revision for Q2.
  • PCE non-housing core services accelerated to 0.46% M/M in July from an upward revised 0.31% (initial 0.22) in June, per Bloomberg’s calculation. The pick-up was seen by some on the aforementioned factors although it's a reasonable upward revision to June considering the net downward revision over Q2.
  • Overall services meanwhile accelerated to 0.445% M/M from 0.34% M/M.
  • Both are the strongest increases January.

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