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 Markets on Edge: Continuing Coverage of Regional Banking Crisis READ MORE SSR Mining Stops Gold Production after Landslide in Turkey READ MORE Fed Rate Cut Hopes Dampened by Persistent Inflation and Strong Job Growth READ MORE What is the Best Gold and Silver to Buy? READ MORE Fed's Waller Confirms: U.S. Dollar to Retain Its Global Reserve Currency Status READ MORE Add a Comment Cancel replyYour email address will not be published.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