Key facts
- U.S. stock index futures edged lower on Wednesday.
- The July PCE price index rose 0.2% monthly and 3.7% annually, exceeding expectations.
- The core PCE reading met expectations with a 0.2% monthly and 3.3% annual increase.
- Second-quarter U.S. GDP grew 1.5%, matching estimates.
- The Dow Jones Industrial Average, S&P 500, and Nasdaq Composite opened lower.
U.S. stock index futures saw a slight decline on Wednesday as investors analyzed new economic data for indications regarding the Federal Reserve's future interest-rate decisions. The Commerce Department reported that the Personal Consumption Expenditures (PCE) price index increased by 0.2% in July from the previous month, surpassing economists' expectations of a 0.1% rise. Annually, the index rose 3.7%, also slightly above the anticipated 3.6%. The core PCE reading, which excludes volatile food and energy prices, met expectations by increasing 0.2% monthly and 3.3% year-on-year. In a separate report, U.S. gross domestic product (GDP) grew at a 1.5% annualized rate in the second quarter, aligning with forecasts. Wall Street's main indexes opened lower, with the Dow Jones Industrial Average falling 29.7 points, the S&P 500 dropping 10.4 points, and the Nasdaq Composite declining 51.7 points. Investors also awaited results from AI chip leader Nvidia.