AI Data Insight
Latest data shows that the US core PPI seasonally adjusted index for May 2026 (Q2 2026) fell back to 153.996, experiencing a rare slight decline from 154.147 in the previous month, performing well below the market's initial expectation of a 0.5% monthly increase. Although Middle East geopolitics triggered surging energy prices and pushed up the overall PPI, the core data declined instead of increasing, indicating that upstream costs have not yet been fully passed on to end consumers. The phased easing of core inflation pressure is expected to provide the Federal Reserve with more flexibility for observation and decision-making when facing market calls for interest rate hikes.