Analyst: Although inflation remains elevated, the cooling exceeded expectations.

BlockBeats news, September 30: Analysts at the Bank of Montreal pointed out in a research report that the annual benchmark revision data from the U.S. Bureau of Economic Analysis (BEA) shows that the Federal Reserve's preferred inflation gauge was revised down by more than expected, although the inflation level remains far above the Fed's 2% target. The analysts said that the increase in the core PCE (Personal Consumption Expenditures Price Index) in August was lower than expected, with the year-over-year growth rate slowing to 3%, below the market consensus of 3.3% and the Fed's own estimate of 3.2%.

At the same time, they noted that the economy is still expanding, and private-sector hiring activity remains solid. The analysts believe that these factors, combined with the downward revision in inflation data, have to some extent eased the urgency of another rate hike in October.