PCE Data Release Set for September 30: A Key Test for Fed's Interest Rate Path

The U.S. Bureau of Economic Analysis (BEA) is set to release August data on personal income, personal spending, and the Personal Consumption Expenditures (PCE) Price Index on September 30.

This report will be a key test for the Federal Reserve's interest rate path, as the PCE Price Index is the central bank's preferred inflation gauge.

Markets are closely watching the data to see if inflation is continuing to move towards the Fed's 2% long-term target or showing signs of renewed acceleration.

In July, the headline PCE Price Index rose 3.7% year over year, while the Core PCE Price Index increased 3.3% year over year, both remaining above the Fed's target.