The weaker-than-expected US core PCE figures for September have given the green light for further interest rate cuts by the Federal Reserve.

A key inflation indicator released by the U.S. Commerce Department on Friday showed that September's inflation rate was lower than expected. This report, delayed due to the government shutdown, further signals a potential interest rate cut by the Federal Reserve. The core PCE price index, excluding volatile food and energy prices, rose 0.2% month-on-month and 2.8% year-on-year. The monthly rate met expectations, but the year-on-year rate was 0.1 percentage points lower than expected. Additionally, according to data from the U.S. Commerce Department's Bureau of Economic Analysis, overall personal consumption expenditures rose 0.3% month-on-month, and the annual inflation rate was also 2.8%. Both figures were in line with expectations. Federal Reserve officials use the PCE price index as a primary policy tool for measuring inflation. While officials consider both overall and core data, they generally believe that the core data is a better indicator of long-term inflation trends. The report was delayed for several weeks due to the government shutdown, during which all data collection and economic reporting were suspended. (Jinshi)