The U.S. core personal consumption expenditure price index rose 1.6% year over year in April, in line with expectations, following a downwardly revised increase of 1.5% in March, data from the Bureau of Economic Analysis showed.

The headline PCE price index advanced 1.5% year over year, compared with a 1.4% rise in March. This was below the Econoday consensus estimate of 1.6%.

On a monthly basis, the core PCE price index, which excludes food and energy, edged up 0.2% in April, after a 0.1% uptick in the preceding month.

The headline PCE price index registered a 0.3% increase month over month, compared with a 0.2% rise previously.

Fed Vice Chairman Richard Clarida said May 30 that the central bank would consider cutting interest rates if incoming data were to show a "persistent shortfall" in inflation below the 2% target.

Meanwhile, current-dollar personal income grew 0.5% month over month in April after a 0.1% increase in March.

Personal outlays increased $42.7 billion and personal saving stood at $990.3 billion in April.