US PCE Inflation - 2024-09-26

PCE beats, with headline printing at 2.24% year-over-year, essentially at the Fed's target. On a monthly basis, both headline and core are below target. Downward revisions are part of the story. But outright deflation in the goods sector is even more important -- down almost 1% year-over-year, the steepest deflation since the worst days of the pandemic lockdowns.