The Core PCE Price Index YoY (Personal Consumption Expenditures Price Index excluding food and energy) measures the annual change in prices for goods and services consumed by individuals in the U.S., excluding volatile food and energy prices. It is a preferred inflation gauge for the Federal Reserve when setting monetary policy, as it reflects underlying inflation trends more accurately. A higher-than-expected reading can lead to expectations of interest rate hikes, impacting financial markets by affecting stock prices, bond yields, and the U.S. dollar. It provides insights into consumer purchasing power and overall economic health.
The Core PCE Price Index YoY (Personal Consumption Expenditures Price Index excluding food and energy) measures the annual change in prices for goods and services consumed by individuals in the U.S., excluding volatile food and energy prices. It is a preferred inflation gauge for the Federal Rese...