Latest Inflation Data Shows Prices Cooling in November – By Tim Smart (US News) / Dec 23, 2022
While inflation is ebbing, prices remain far higher than the Federal Reserve would like.
The latest official reading on inflation released Friday shows prices rose less than expected in November, further evidence that the runaway inflation of the summer appears to be over.
The personal consumption expenditures price index, a measure of inflation that is less well known than the consumer price index but which the Federal Reserve pays close attention to, increased by 0.1% for the month following October’s rise of 0.4%, or 5.5% on an annual basis.
The core PCE that omits often volatile food and energy costs rose 0.2%, compared to 0.3% in October. That brings the annual rate to 4.7% from 5% previously. The numbers were in line with forecasts.
Personal spending rose by 0.1% in November, a sharp slowdown from its 0.9% rate in October as inflation and higher borrowing costs weigh on consumers. However, personal income rose by 0.4%.
