The Federal Reserve's preferred inflation measure edged higher in July, reversing some of the prior month's sharp drop as the central bank works to bring inflation back to its 2% target.
The Personal Consumption Expenditures (PCE) Index excluding the cost of food and energy, or so-called "core" PCE, rose 4.2% over the prior year in July, in-line with economist expectations and up from 4.1% in June, data released by the Commerce Department on Thursday showed.
On a headline basis, which includes all categories, PCE inflation rose 3.3% year-over-year in July, up from 3% the month prior and in line with expectations.
Personal consumption expenditures jumped at a robust pace in July, rising 0.8% versus 0.6% the month prior, driven in part by the success of the "Barbenheimer" theatrical double header, along with the Taylor Swift and Beyonce concert tours.<----------
"Despite the apparent strength of real demand, inflationary pressures continued to ease," wrote Paul Ashworth, an economist at Oxford Economics, in a note to clients on Thursday.? <-- Didn't it go up?
Core PCE is the inflation measurement preferred by the Fed, as PCE — unlike the more widely-cited Consumer Price Index (CPI) — feeds directly into GDP.
The Personal Consumption Expenditures (PCE) Index excluding the cost of food and energy, or so-called "core" PCE, rose 4.2% over the prior year in July, in-line with economist expectations and up from 4.1% in June, data released by the Commerce Department on Thursday showed.
On a headline basis, which includes all categories, PCE inflation rose 3.3% year-over-year in July, up from 3% the month prior and in line with expectations.
Personal consumption expenditures jumped at a robust pace in July, rising 0.8% versus 0.6% the month prior, driven in part by the success of the "Barbenheimer" theatrical double header, along with the Taylor Swift and Beyonce concert tours.<----------
"Despite the apparent strength of real demand, inflationary pressures continued to ease," wrote Paul Ashworth, an economist at Oxford Economics, in a note to clients on Thursday.? <-- Didn't it go up?
Core PCE is the inflation measurement preferred by the Fed, as PCE — unlike the more widely-cited Consumer Price Index (CPI) — feeds directly into GDP.
