As the markets prepare for the release of US PCE price data, it’s crucial to understand its potential impact. This economic indicator holds significant influence over the Federal Reserve’s outlook, which currently anticipates no rate cuts in the near future. However, a persistent inflationary trend may invite questions about a potential July rate hike. While the disinflation narrative remains prevalent, it’s unwise to completely dismiss the possibility of a summer move if the data warrants it. Traders should exercise caution and avoid overextending their expectations based on limited economic data. The upcoming PCE data will provide further insights into the Fed’s stance and the trajectory of monetary policy for the year.