(Reuters) - Market bets rose on Friday that the Federal Reserve will cut interest rates by September and do so again in December after a government report showed a key measure of U.S. inflation weakened last month.     Traders of futures contracts tied to the Fed policy rate now see about a 68% chance of a rate cut by the...

The Federal Reserve’s preferred measure of inflation, the Personal Consumption Expenditure, continued to decline in May as economists expected, cementing market expectations Friday on upcoming Fed rate cuts. In May, the rate of personal income rose more than expectations, while personal spending grew less than predicted. on a month-over-month basis, indicating some early signs of cooling consumer demand. May Inflation,...

(Reuters) - U.S. investors heavily bought into equity funds ahead of a crucial inflation report spurred by expectations of continued moderation in inflation that could prompt the Federal Reserve to announce rate cuts. They pumped a robust $16.37 billion into U.S. equity funds during the seven days to June 26, the highest amount in a week since June 14, 2023....

WASHINGTON (Reuters) - U.S. prices were unchanged in May while consumer spending rose moderately, a trend that could draw the Federal Reserve closer to start cutting interest rates this year. The flat reading in the personal consumption expenditures (PCE) price index last month followed an unrevised 0.3% gain in April, the Commerce Department's Bureau of Economic Analysis said on Friday....