US Fed's Preferred Inflation Gauge Holds Steady Amid Iran Conflict

The US Federal Reserve's preferred inflation gauge, the PCE price index, remained unchanged in July at 3.7 percent year-over-year, according to data released by the Commerce Department on Wednesday.

This figure is largely in line with analyst expectations and marks a steady month from June, when it also rose 3.7 percent from last year.

The PCE price index has been driven higher by high energy prices caused by US President Donald Trump's Iran war, which has sent global oil and gas supplies plummeting. The conflict has contributed to an affordability crisis in the US, with prices yet to stabilize despite Wednesday's steady inflation data.