The core PCE is projected to have increased by 0.19% given the CPI/PPI data

The number crunchers are at it after the CPI and PPi data this week.

GIven the figures, Pantheon Macroeconomics expects the core PCE deflator (the favored measure of inflation for the Fed) at 0.19% – jut under 0.2%.

Of course to get to 2.0% the average MoM needs to be 0.166%, but close enough.

Looking at the MoM levels, if it comes in at 0.19% the last 3 months would average 0.2%. If you look at 6-months, it would average 0.2% per month as well.

This article was written by Greg Michalowski at www.forexlive.com.