U.S. consumer spending rose solidly in July, but inflationary pressures persisted

U.S. consumer spending rose at the fastest pace in four months in July, despite persistently high inflation, showing the resilience of demand. Inflation-adjusted consumer spending rose 0.3 percent month-on-month, data from the Bureau of Economic Analysis showed on Friday. Rising incomes drove consumer spending higher, with consumption of goods becoming the main driver. The core PCE price index, which excludes food and energy, rose 0.3 percent month-on-month and rose to 2.9 percent year-on-year, the highest level since February.