U.S Core PCE (FEDS FAVOURITE METRIC)
U.S Core PCE (FEDS FAVOURITE METRIC)
Rep: 2.8% ✅ Slight decrease as Expected ✅
Exp: 2.8%
Prev: 2.9%
U.S. Headline PCE
Rep: 2.4% ✅ Notable Decrease Expected ✅
Exp: 2.4%
Prev: 2.6%
Both Headline & Core PCE have come in lower and as expected;
✅ Core decreased from 2.9% to 2.8%
✅ Headline PCE decreased from 2.6% to 2.4%
Historical Core PCE Norms
On the chart you can see that since 1990 the typical Core PCE range is between 1 - 3% (red dotted lines on chart - green area). We are slowly getting back down into this more historically moderate level. We have fallen below the 3% level and down into the historically moderate zone for PCE levels.
The Federal Reserve have advised that Core PCE is expected to decline to 2.2% by 2025 & finally reach its 2% target in 2026. At this rate we might reach 2% a little sooner than that.
For the full breakdown of the Core and Headline PCE and to know the differences between PCE and CPI, please review the Macro Monday I previously released which explains it all (see below link).
PUKA
Rep: 2.8% ✅ Slight decrease as Expected ✅
Exp: 2.8%
Prev: 2.9%
U.S. Headline PCE
Rep: 2.4% ✅ Notable Decrease Expected ✅
Exp: 2.4%
Prev: 2.6%
Both Headline & Core PCE have come in lower and as expected;
✅ Core decreased from 2.9% to 2.8%
✅ Headline PCE decreased from 2.6% to 2.4%
Historical Core PCE Norms
On the chart you can see that since 1990 the typical Core PCE range is between 1 - 3% (red dotted lines on chart - green area). We are slowly getting back down into this more historically moderate level. We have fallen below the 3% level and down into the historically moderate zone for PCE levels.
The Federal Reserve have advised that Core PCE is expected to decline to 2.2% by 2025 & finally reach its 2% target in 2026. At this rate we might reach 2% a little sooner than that.
For the full breakdown of the Core and Headline PCE and to know the differences between PCE and CPI, please review the Macro Monday I previously released which explains it all (see below link).
PUKA
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.