Fed inflation measure misses, markets ignore

29 March 2019

 

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 July, the annual rate then slipped a little and then hovered in a range between 1.8% and 2.0% through the end of 2018 and into early 2019. January’s expenditure figures have now been published by the Bureau of Economic Analysis as...

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