US: Annual core PCE Price Index dropped to 1% in April

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The Personal Consumption Expenditures (PCE) Price Index declined to -0.5% on a monthly basis in April from -0.2%, the US Bureau of Economic Analysis reported on Friday. On a yearly basis, the PCE Price Index slumped to 0.5% from 1.3%.

Further details of the publication revealed that the annual core PCE Price Index, the Federal Reserve's preferred gauge of information, dropped to 1% and came in slightly lower than the market expectation of 1.1%.

Market reaction

The US Dollar Index largely ignored these figures and was last seen down 0.45% on the day at 98.02.