PCE Price Index: April Core Up to 4.7%

The BEA's Personal Income and Outlays report for April was published this morning by the Bureau of Economic Analysis. The latest headline PCE price index was up 0.4% month-over-month (MoM) and increased to 4.4% year-over-year (YoY). Core PCE was also up 0.4% monthly and rose to 4.7% year-over-year, still well above the Fed's 2% target rate.

PCE Price Index

Personal consumption expenditures (PCE) measures and tracks changes for all domestic personal consumption. Core PCE measures the changes in personal consumption less food and energy, making it less volatile than the headline PCE. The PCE Price Index is calculated using PCE data and is a key way to measure changes in purchasing trends and inflation.