Summary: US Fed’sfavoured inflation measure increases by 0.5% in December; in line with expectations; annual rate accelerates from 4.7% to 4.9%; highest core reading since September 1983; Treasury bond yields down moderately. One of the US Fed’s favoured measures of inflation is the change in the core personal consumption expenditures (PCE) price index. After hitting the Fed’s target at the time of 2.0% in mid-2018, the annual rate then hovered...