Now the FOMC may cut rates as early as March.
On a 3-month basis (annualized rate), inflation dropped to:
Headline PCE: +0.50%
Core PCE: +1.52%
Super Core PCE: +2.08% - practically every series is at or below 2%!
On a 12-month basis, i.e. YoY:
Headline PCE: +2.60%
Core PCE: +2.93%
Super Core PCE: +3.32%
According to Inflation Nowcast (Cleveland FED), YoY inflation will be in January 2024:
Headline PCE: +2.19%
Core PCE: +2.66%
Figure 1 shows 3 series of PCE inflation on an annual and monthly basis.
Figure 2 shows both the annual and 3-month change for the last 5 months.
Figure 3 shows the same for CPI inflation.
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