AI Data Insight
According to DataTrack data, the US Personal Consumption Expenditures (PCE) on goods reached $6.66 trillion in the first quarter of 2026, an increase of $90.7 billion from the previous quarter, continuing to set new record highs. Despite the strong growth in nominal consumption, real consumption momentum has been suppressed by high prices, driven primarily by the surge in energy prices triggered by Middle East geopolitics. The market expects that sticky core inflation will force the Federal Reserve to maintain high interest rates for a longer period, posing a risk of delay to the rate cut schedule this year.