Source: US Bureau of Economic Analysis
Source: US Bureau of Economic Analysis

The US Bureau of Economic Analysis released second quarter GDP figures Friday morning, which met expectations with a 2.6% annual rate of increase, more than double the rate seen in the first quarter.

Despite the GDP increase, largely attributed to seasonal quirks weighing on the previous month’s growth, inflation dropped precipitously:

The price index for gross domestic purchases increased 0.8 percent in the second quarter, compared with an increase of 2.6 percent in the first quarter. The PCE price index increased 0.3 percent, compared with an increase of 2.2 percent. Excluding food and energy prices, the PCE price index increased 0.9 percent, compared with an increase of 1.8 percent.

The University of Michigan Consumer Sentiment Index is set to be released this afternoon ahead of a speech from dovish Federal Open Market Committee member Neel Kashkari at 5:20 pm, FX Street reports.