Woofun AI reports that the U.S. May Personal Consumption Expenditures price index data is scheduled for release tonight at 8:30 PM. Market consensus anticipates the overall PCE year-over-year increase will reach 4.1%, up from April's 3.8%, marking a high not seen since 2023. The core PCE, excluding food and energy, is expected to rise to 3.4% year-over-year, surpassing April's 3.3% and hitting its highest level since October 2023.

Analysts attribute recent inflationary pressure to gasoline price spikes linked to geopolitical tensions, though core inflation strength suggests broader price pressures. According to the CME FedWatch Tool, the market has priced in a 34% probability of a 25-basis-point rate hike in July. Bank of America economist Aditya Bhave noted that while tariffs and one-off disruptions contributed to the rebound, persistent supply shocks and exhausted housing deflationary pressures are key factors.