Becker Business Podcast: "The PCE Comes in as Expected"

Host: Scott Becker
Date: September 26, 2025

Episode Overview

In this short but insightful episode, Scott Becker delivers a focused update on the latest Personal Consumption Expenditures (PCE) Index data for August 2025. The discussion revolves around the PCE’s implications for inflation trends, Federal Reserve interest rate policy, and the impact on the markets. Becker summarizes market responses and offers his perspective on the meaning of these numbers for investors and business leaders.

Key Discussion Points & Insights

1. What is the PCE and Why It Matters

• Definition & Importance: The PCE (Personal Consumption Expenditures Index) is highlighted as the inflation index most closely watched by the Federal Reserve.
• Quote:

  "The PCE is the Personal Consumption Expenditures Index. And this is important because it's the inflation index that the Fed watches the most closely."
  — Scott Becker [00:11]

2. PCE Results for August 2025

• Key Data Point: The PCE for August came in at 2.7%, matching expectations.
• Market Relevance: This alignment with expectations is described as "really good news for the markets."
• Quote:

  "It came in for August, really as expected at 2.7%. And that turns out to be really good news for the markets."
  — Scott Becker [00:21]

3. Market Context & Recent Trends

• Market Streak: Markets had experienced a three-day downturn, described as "the longest consecutive losing streak in some time."
• Sentiment: Rising concerns over the economy and inflation were calmed by the PCE data.
• Quote:

  "The markets have been down the last three days. It seems like the longest consecutive losing streak in some time. And some concerns about the economy and about inflation."
  — Scott Becker [00:29]

4. Immediate Market Impact

• Market Recovery: The NASDAQ and S&P rebounded, regaining what was lost the previous day.
• Fed Policy Implications: The data "gives more comfort that the Fed could still continue to dial rates down."
• Quote:

  "The NASDAQ, the S& P is basically taking back today or gaining today what it lost yesterday, which is good news from the market perspective, good news that inflation is under control and good news that the Fed could keep on dialing down rates over the next several months."
  — Scott Becker [00:43]

5. Looking Forward

• Cautious Optimism: Becker remains watchful about future Fed moves but notes the positive momentum.
• Sign-off: "We'll see how that goes. But that's today's discussion."
  — Scott Becker [01:00]

Notable Quotes & Moments

• On the importance of the PCE:
  "It's the inflation index that the Fed watches the most closely." [00:11]
• On market relief:
  "Good news that inflation is under control and good news that the Fed could keep on dialing down rates over the next several months." [00:54]

Timestamps for Important Segments

• 00:00–00:25 — Introduction to the PCE and its significance
• 00:25–00:40 — Reporting the PCE data and initial market reaction
• 00:40–01:00 — Discussion of market streak, implications for Fed policy, and closing thoughts

Tone & Style

Scott Becker’s delivery is concise, factual, and reassuring, with an emphasis on clarity for business and investment listeners. He adopts a practical tone, focusing on actionable insights without excessive jargon.

Useful for:
This summary provides business leaders, investors, and market watchers with a quick, accurate snapshot of the PCE news, its immediate market impact, and expert context—ideal for those looking to stay informed on inflation and interest rate trends without listening to the full episode.