September core PCE inflation up 0.5%; still rising but at slower rate

28 October 2022

 

Summary: US core PCE price index up 0.5% in September, in line with expectations; annual rate accelerates from 4.9% to 5.1%; core inflation rising but at slightly slower rate; Treasury yields up; Fed rate-rise expectations harden. 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...

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