Fed's Favored Inflation Measure May Show Softer Rise Than CPI Suggests The Consumer Price Index (CPI) data for January revealed an unexpected surge, with core prices, excluding food and energy, climbing by 0.4% and surpassing many predictions. This uptick was largely driven by a 0.7% increase in core services, marking the most significant rise since September 2022. However, this spike in the CPI might not fully translate to the Federal Reserve’s preferred inflation gauge, the Personal Consumption Expenditures (PCE) index. Key differences between these measures, such as the lower weighting of shelter costs and distinct calculations for medical care services in the PCE, mean inflation rates reported by the core CPI could remain higher than those shown by the core PCE index. « Previous Article Next Article » Share This Article Choose Your Platform: Facebook Twitter Google Plus Linkedin Related Posts Silver to see second-highest deficit in 20 years, as record industrial demand rises 9% in 2024 – Silver Institute’s World Silver Survey READ MORE GoldSilver Infographic: History of Money and Currency in the USA READ MORE Fidelity's Macro Guru Sees Bitcoin Reaching $6 Trillion Valuation READ MORE Real Estate Pain Is Showing Up in an Obscure Investment Product READ MORE Core Inflation Meets Expectations, Posing Questions for Fed's Next Move READ MORE Add a Comment Cancel replyYour email address will not be published. Required fields are marked *Name * Email * Save my name, email, and website in this browser for the next time I comment. Comment