Fed’s preferred gauge showed core inflation at 3.0% in August, much lighter than expected

The personal consumption expenditures price index was projected to show an annual gain of 3.7% on headline and 3.3% for core, according to the Dow Jones consensus.

Fed’s preferred gauge showed core inflation at 3.0% in August, much lighter than expected

TL;DR

  • Core PCE inflation for August was 3.0% annually.
  • This figure was lower than the projected 3.3%.
  • Headline PCE inflation was also lighter than expected.