The PCE stands for Personal Consumption Expenditures, a measure of price changes in the US economy. It's an economic index that is closely watched by investors and policymakers as an indicator of inflation. The Federal Reserve uses the PCE as its preferred measure of inflation because it takes into account changes in consumer spending behavior and covers a broader range of goods and services compared to other inflation metrics, like the CPI. In March, the PCE declined to 4.2% on a yearly basis, a bigger drop than expected. Meanwhile, the Core PCE price index, which excludes volatile food and energy prices, rose 4.6% year-over-year, in line with expectations. Investors are waiting for the Fed's monetary policy decision, which may be influenced by the PCE data, as the central bank aims to keep inflation in check while supporting economic recovery. In addition, corporate earning reports are also being closely watched, with some companies like Exxon Mobil and Chevron posting better-than-expected profits, while others like Snap and Pinterest disappointed investors with lower revenue growth.