Market Analysis: Rising Core PCE Poses Challenges for Fed Doves

Odaily News According to the US financial website investinglive: This report poses a problem for the doves within the Federal Reserve. The overall data largely met expectations, but upon closer inspection, the core PCE has recorded a month-on-month increase of 0.4% for two consecutive months. If similar data persists for a few more months, the inflation rate will rapidly approach 2%, and this data will still be factored into the year-on-year calculations over the next 10 months. Furthermore, an energy price shock is also imminent. (Jin10)