Excerpt
July 31, 2025, Video: "The Federal Reserve’s preferred measure of underlying inflation increased in June at one of the fastest paces this year while consumer spending barely rose, underscoring the dueling forces dividing policymakers over the path of interest rates. The so-called core personal consumption expenditures price index, which excludes food and energy items, rose 0.3% from May, according to Bureau of Economic Analysis data out Thursday. It advanced 2.8% on an annual basis, a pickup from June 2024 that underscores limited progress on taming inflation in the past year. The data also showed inflation-adjusted consumer spending edged up last month after declining in May. Lael Brainard, Senior Fellow at Harvard University and Former Director of the National Economic Council, joins Tom Keene and Paul Sweeney on Bloomberg Surveillance to break down today's data."