Given that the
headline payroll growth has been solid, the latest round of US GDP data (for Q2) surprised to the upside, and personal consumption, real personal consumption and personal income data also surprised to the upside (July data), PCE
inflation (fell to 1.4 % Y / Y in July,
hitting the lowest since late 2015) and general wage growth has been the missing piece of the puzzle for the Fed.
Inflation data published last week showed the headline personal consumption expenditure (PCE) inflation index hit a 2 per cent annual pace in the year to March and the Fed's preferred underlying measure, the core PCE which excludes volatile energy and food items, rose to 1.9
Inflation data published last week showed the
headline personal consumption expenditure (PCE)
inflation index hit a 2 per cent annual pace in the year to March and the Fed's preferred underlying measure, the core PCE which excludes volatile energy and food items, rose to 1.9
inflation index
hit a 2 per cent annual pace in the year to March and the Fed's preferred underlying measure, the core PCE which excludes volatile energy and food items, rose to 1.9 per cent.