August PCE inflation hits 2.7%, core rises to 2.9%, hits highest level since February. Fed expected to continue rate cuts despite inflation spike

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PCE 0.3% MoM, Exp. 0.3%
PCE 2.7% YoY, Exp. 2.7%

PCE Core 0.2% MoM, Exp. 0.2%
PCE Core 2.9% YoY, Exp. 2.9%

The Fed has to keep cutting rates. The cost of borrowing is far too high to sustain growth and bond market yields are unsustainable.