U.S. stock index futures continued their upward trend on Friday, bolstered by a key inflation report that showed price pressures were nearly in line with expectations for July.
The Personal Consumption Expenditure (PCE) index, the Federal Reserve’s preferred inflation measure, increased by 2.5% year-on-year, slightly below the forecast of 2.6%. On a monthly basis, the index rose by 0.2%.
The Core PCE index, excluding food and energy costs, also showed a smaller-than-expected annual increase of 2.6%, compared to the anticipated 2.7%.
This data has reinforced market expectations for an interest rate cut at the Federal Reserve’s upcoming meeting in September.
At 08:33 a.m. ET, Dow E-minis were up 94 points (0.23%), Nasdaq 100 E-minis gained 154 points (0.79%), and S&P 500 E-minis rose by 24 points (0.43%).