Summary: US Fed’s favoured inflation measure increased by 0.5% in May; slightly below market expectations; annual rate accelerates further above 3%; Fed inflation projections “a difficult ask”; Treasury bond yields higher. One of the US Fed’s favoured measures of inflation is the change in the core personal consumption expenditures (PCE) price index. After hitting the Fed’s target at the time of 2.0% in mid-2018, the annual rate then hovered...