US PCE Inflation - 2025-04-29

In case anyone was worried about all the news reports this morning that Q1 GDP shows "inflation sped up" in "the first quarter of the Trump era," be relieved that the Fed's preferred price index showed outright deflation for March on a headline basis, and almost no inflation at all for core. Headline PCE is now at just 2.29% year-on-year, basically right at the Fed's target. On a market-based basis, it's below target by almost as much at 1.83%.