The core PCE price index is at its lowest annual rate since April 2021, marking another step toward the Fed’s target of 2% inflation.
When including gas and food prices, the overall PCE index was unchanged last month.
Consumer expenditures increased 0.2% last month, a marked pullback from the 0.7% jump seen in September.
When taking out inflation, however, the 0.2% real spending in October was down only slightly from September’s 0.3% gain.
Holiday uncertaintyThe spending patterns last month align with the ongoing trend of people spending their money more on experiences.
Persons:
Bharat Ramamurti, Kayla Bruun, Jill Renslow, Bruun, ” Ramamurti, ”
Organizations:
Minneapolis CNN, The Commerce Department, Federal Reserve, PCE, National Economic Council, CNN, Consumers, Morning, of, National Retail Federation
Locations:
Minneapolis, of America, Bloomington , Minnesota