Fed's Preferred Inflation Gauge Comes In At 3% as Expected
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The Federal Reserve's preferred inflation gauge, core PCE, rose 3% year-over-year in December, matching expectations, but indicating that reining in inflation may be more challenging than anticipated.
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US inflation was higher in December, with core PCE rising 0.4% month-over-month and 3% year-over-year. The Federal Reserve's preferred inflation gauge suggesting that reining in higher prices is proving to be more difficult than anticipated for the FOMC. Policymakers at their January meeting said they'd like clearer evidence that inflation is returning to their 2% goal, but Friday's December data suggests they will have to maintain a "wait-and-see" approach. Olu Sonola, Head of US Economic Research at Fitch Ratings, joins Bloomberg Businessweek Daily to discuss. He also weighs in on GDP and the potential economic impact of President Trump's tariffs being struck down by the Supreme Court. Sonola speaks with Carol Massar and Emily Graffeo. (Source: Bloomberg)
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المقال الأصلي منشور بواسطة Bloomberg في فبراير 21, 2026. التحليل والرؤى المقدمة من AnalystMarkets AI.