The US Bureau of Economic Analysis will release the January PCE Price Index at 7:00 PM today, a key inflation gauge that could influence Federal Reserve rate cut expectations. Stay tuned for live updates!

The Federal Reserve’s preferred inflation gauge cooled as expected in January; however, the good news came with another potential red flag for the US economic engine: Consumers pulled back their spending by the most in nearly four years.

Thomas Ryan, an economist at Capital Economics, attributed the decline in part to “unseasonably severe winter weather,” but warned that the Fed’s job will become “trickier if January’s sharp decline in consumption was a sign of consumer strength buckling.”

A key price gauge declined last month, a sign that inflation may be cooling though stiff tariffs threatened by the White House threaten that progress. Yet data released Friday by the Commerce Department also showed that Americans cut their spending last month 0.

A key price gauge declined last month, a sign that inflation may be cooling though stiff tariffs threatened by the White House threaten that progress