US stock futures experienced a significant rebound on Friday, reaching intraday highs following the release of the Federal Reserve's preferred inflation gauge. The data revealed that the core PCE index, which excludes the volatile food and energy sectors, rose by 0.1% month-over-month in June, aligning with expectations.

This development has instilled a sense of optimism among investors, suggesting that the Federal Reserve is making progress in its efforts to combat inflation. As a result, there is growing speculation that the central bank may not need to maintain its aggressive stance on interest rate policy, potentially leading to a more favorable economic environment.

The alignment of the core PCE index with expectations has eased concerns about inflation, allowing stock futures to surge. This rebound is a testament to the market's sensitivity to inflation data and its impact on monetary policy decisions.

The Federal Reserve's inflation gauge has provided a much-needed respite for investors, who have been navigating a complex economic landscape. With inflation concerns temporarily alleviated, the focus shifts to the potential for a more dovish approach from the central bank.

As the market continues to react to the latest inflation data, one thing is clear: the Federal Reserve's efforts to combat inflation are yielding positive results. With the core PCE index meeting expectations, investors can breathe a sigh of relief, knowing that the central bank is making progress in its mission to stabilize the economy.