PCE price index
The household spending price index, the Fed’s preferred inflation gauge.
Definition
The household spending price index, the Fed’s preferred inflation gauge.
Why it matters
It is one of the figures that describe the state of the economy: it guides central banks, governments and investors.
How to read it in the news
On release day the market reacts mostly to the gap between the figure and the economists’ consensus. Mind the revisions to previous months too.
Notitia newsroom · education, not investment advice.