Fed's Preferred Inflation Gauge Shows Rising Prices Amid War
The Federal Reserve's preferred inflation gauge, the Personal Consumption Expenditures (PCE) index, rose to 3.5% in March, driven by energy prices, with core inflation also increasing to 3.2%. The data highlights inflation's persistence above the Fed's 2% target, influenced by the war in Iran. The Fed remains divided on its easing bias, with some members opposing language signaling a potential rate cut.
Topics: energy prices Federal Reserve inflation interest rates war impact