By Tom Burnett CFA
On February 24, 2023, the Bureau of Economic Analysis released its PCE price report for January. The PCE price indexes are the Federal Reserve’s main inflation data points. The PCE price index rose 0.6% in January, compared to a monthly increase of 0.2% in November and December. The indexes for both goods and services each rose by 0.6% in January. Over the past 12 months, the PCE price index rose by 5.4%, up slightly from the 5.3% increase in the year ending in December.
The Core Index, excluding food and energy, rose 0.6% in January, following an increase of 0.4% in December. Over the past year, the Core Index rose by 4.7%, after an increase of 4.6% in the 12 months ending in December.
The next PCE price index release will be issued on March 31, 2023.
Tom Burnett CFA is Director of Research