US Fed's favored inflation gauge ticks higher as fuel costs rise
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The US central bank's favored measure of inflation, the personal consumption expenditures (PCE) price index, rose at an annual rate of 2.5 percent in February, up 0.1 percentage points from the previous month. Goods prices rose 0.5 percent, while the costs of services increased by 0.3 percent. The increase in the cost of goods was largely driven by rising energy prices, which rose 2.3 percent from January. The closely watched 'core inflation' measure, which strips out volatile food and energy costs, eased slightly, rising by 2.8 percent on an annual basis and by 0.3 percent from January. The higher inflation figure may cause concern for President Joe Biden's reelection campaign as he seeks to convince consumers that the economy is heading in the right direction. The Federal Reserve is still on track toward its long-term inflation target of two percent. Fed officials have reiterated their prediction of three interest rate cuts this year, but recent data has led some officials to question this prediction. The inflation figures are being closely watched by the White House as President Joe Biden seeks reelection in November.

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https://www.legit.ng/business-economy/economy/1585827-us-feds-favored-inflation-gauge-ticks-higher-fuel-costs-rise/