Core PCE inflation stabilises at 1.0%

26 June 2020

 

Summary: US Fed’s favoured inflation measure rises 0.1%; more than market expectations; previous month recorded 0.4% fall; Treasury bond yields fall as coronavirus infection rate rises.   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 2.0% in mid-2018, the annual rate then hovered in a range between 1.8% and 2.0% before...

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