India, July 30 -- The Federal Reserve's preferred inflation measure, the core Personal Consumption Expenditures (PCE) price index, eased to 3.3% in June from 3.4% in May, according to the US Bureau of Economic Analysis (BEA). June's 3.3% annual core inflation matched what economists had expected, according to FactSet.

Even after cooling, core inflation remains well above the Federal Reserve's 2% target. On a monthly basis, core prices rose 0.1% in June, as reported by The New York Times. The overall PCE inflation rate fell 0.1% in June from the previous month and was 3.7% higher than a year ago, according to the Commerce Department.

The drop in inflation came after a brief pause in the Iran conflict helped bring oil prices closer to pre...