The Federal Reserve’s preferred PCE inflation measure held at 3.7% in July, slightly above the 3.6% consensus, while the core measure was 3.3%. The figures showed little progress towards the Fed’s 2% goal and challenged the case for easier policy, particularly after tariffs and energy disruption had raised supply costs. Rate-rise expectations edged higher and the dollar index gained about 0.2%, while the euro slipped to roughly $1.165.