What were the key US economic indicators released, and how did they perform?

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Key US Economic Indicators Show Mixed Performance

The United States released key economic data indicating a stronger-than-expected gross domestic product (GDP) growth for the first quarter, while the personal consumption expenditures (PCE) inflation rate for May met market expectations. The first-quarter GDP growth registered at 2.1 per cent, surpassing the consensus forecast of 1.6 per cent. In May, the PCE inflation rate was recorded at 4.1 per cent.
First Quarter GDP Growth Exceeds Expectations

The US economy demonstrated robust growth in the first quarter, with its Gross Domestic Product (GDP) expanding by 2.1 per cent. This figure exceeded the 1.6 per cent growth anticipated by market consensus, suggesting a stronger economic performance than initially projected.
May PCE Inflation Rate Aligns with Forecasts

In May, the personal consumption expenditures (PCE) inflation rate was reported at 4.1 per cent. This outcome was in line with the expectations of market participants, indicating a stability in inflation trends as measured by this key indicator.
Impact on US Dollar Index

Following the release of the PCE data, the US Dollar Index (DXY) experienced a decline of 0.18 per cent, settling at 101.431 points. This movement occurred against a backdrop of two consecutive quarters of sub-one per cent growth, which can create an impression of subdued consumer spending.
Broader Currency Market Movements

The ringgit opened marginally lower against the US dollar following the release of the economic data, though the impact was somewhat mitigated by improving risk appetite stemming from the reopening of the Strait of Hormuz. The local currency also traded weaker against other major currencies, including the British pound, euro, and Japanese yen, while remaining relatively stable against regional currencies like the Singapore dollar and Indonesian rupiah.

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What were the key US economic indicators released, and how did they perform?

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