Mohamed A. El-Erian
elerianm
According to the just-released data, March headline and core PCE #inflation are slightly higher than the consensus forecasts (2.7 vs. 2.6 and 2.8 vs 2.7).
Having said that, the miss is smaller than yesterday, and the monthly readings are in line.
Meanwhile, personal spending rose…
Core PCE inflation over the last 3 months was a 4.4% annual rate. That is higher than any time from Nov 1990 to Mar 2021.
Yes, there were special factors, seasonal issues, etc. But there were also special factors & seasonal issues at various times in those previous 30 years.