This story has been updated with additional details. The Federal Reserve’s preferred inflation measure surged as predicted last month, quelling headwinds for the central bank’s goal of gradually reaching the 2% target,
The Commerce Department released a closely watched report on Friday showing consumer prices in the U.S. increased in line with
The Bureau of Economic Analysis said Friday that personal consumption expenditures rose 2.6% in December, in line with expectations. Core PCE, omitting food and energy, was 2.8%.
The Federal Reserve expressed concern that inflation has not eased enough for it to continue lowering interest rates.
The Federal Reserve left interest rates unchanged Wednesday as it began a new wait-and-see policy stance amid a cloudy economic outlook and uncertainty over whether some of President Donald Trump’s policies could stymie the fight against inflation.
The Commerce Department released a closely watched report on Friday showing consumer prices in the U.S. increased in line with
which bases its calculations on the Consumer Price Index, a widely used indicator for inflation. Members of the Federal Reserve Board of Governors are appointed by the U.S. president and confirmed ...
U.S. prices increased in December while consumer spending surged, suggesting that the Federal Reserve could delay cutting interest rates for some time this year. The personal consumption expenditures (PCE) price index rose 0.
U.S. prices increased in December while consumer spending surged, suggesting that the Federal Reserve could delay cutting interest rates for some time this year.
The Federal Reserve’s preferred inflation gauge moved even higher in December, driven in part by rising food and energy prices. However, a closely watched measurement of underlying inflation trends indicated some progress in the fight to rein in price hikes.
“The Fed’s prognosis is for a slower pace of monetary easing moving forward, as the economy is doing well and prices are only slowly returning to target in an environment of great uncertainty,” said Carl Weinberg, chief economist at High Frequency Economics. “These data support that strategy.”