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Why Does the Fed Prefer PCE Over CPI?So, what exactly is PCE inflation and how does it differ from the more commonly quoted Consumer Price Index (CPI) that's reported by the Bureau of Labor Statistics? And more importantly ...
The two indexes also have different scopes. Unlike the CPI, the PCE includes spending done on behalf of consumers. One common example is medical spending. The CPI takes into account only what a ...
The CPI and PCE price index have different weightings in various price categories, and PCE price index inflation has been running below the CPI this year—largely due to the measure’s lower ...
Inflation in housing costs—which have a larger weight in the CPI than the PCE price index and have been persistently high this year—slowed during the month. The next FOMC meeting will be held ...
The yen was marginally firmer and set for a quarterly gain just under 4%, at 151.19 per dollar - mostly unruffled by a sticky Tokyo CPI reading ... Reserve's preferred core PCE inflation gauge.
Fed Chair Powell cautioned against overreacting to CPI data, emphasizing the importance of PCE inflation readings. The 10-year Treasury yield hit 4.63%, reflecting investor demand for safe-haven ...
The Core PCE Price Index was flat M/M in March, coming in softer than the +0.1% consensus and +0.5% in February (revised from +0.4%), according to data released by the Commerce Department's Bureau ...
Ahead of the PCE data, on April 14th, WSJ’s Timiraos said "Based on the CPI and PPI readings for March, forecasters who do the math expect a very mild core PCE reading for March. The median forecast ...
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