U.S. June personal consumption expenditure rose 6.8% year-on-year, first growth rate in about 40 years

U.S. consumer spending rose 6.8% last month compared to the same month a year ago, the fastest growth rate in nearly four and a half years.

The fact that record-breaking inflation continues is highlighted once again, and attention will be paid to its impact on future interest rate hike decisions.

The US Department of Commerce announced on the 29th that the price index of personal consumption expenditure last month increased by 6.8% compared to the same month of the previous year.

This is the first time in 40 and a half years since January 1982 that the rate of increase is due mainly to soaring gasoline prices.

In addition, the index, which excludes volatile energy and food, rose 4.8%.

Compared to May, it rose by 0.6%, highlighting again that record inflation continues in a wide range of fields.

FRB = Federal Reserve Board, which is the central bank of the United States, emphasizes personal consumption expenditure as an indicator to determine the actual situation of inflation.

There is some speculation in the market that the economy will slow down due to the rapid rate hikes going forward, and that the pace of interest rate hikes will slow down. Attention will be paid to the impact on future interest rate hike decisions.