July Core Prices Rise 3.3% Annually on Fed's Preferred Inflation Gauge
Quick Brief
The personal consumption expenditures price index reveals that core prices grew 3.3% annually in July. Economists surveyed by Dow Jones had anticipated a 3.6% 12-month increase and a 0.1% monthly gain.
What Happened?
According to data released for July, the personal consumption expenditures price index showed that core prices climbed 3.3% on a 12-month basis. This reading came in below the 3.6% annual increase that economists surveyed by Dow Jones had predicted.
Why It Matters
This metric serves as the Federal Reserve's preferred inflation gauge, providing crucial insight into underlying price pressures and consumer spending trends that influence future central bank monetary policy decisions.
Key Facts
- Core prices rose 3.3% annually in July.
- The data reflects the personal consumption expenditures price index.
- Economists surveyed by Dow Jones had expected a 3.6% 12-month increase.
- The survey also anticipated a 0.1% monthly rise.
Compiled from 1 outlet
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