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Core PCE Inflation At 1.9% Annualized Over Six Months, Lowest Since Sep 2020

US DATA
  • Core PCE inflation increased 0.06% M/M in November (cons 0.2, av 0.15) with offsetting revisions to Oct and Sep.
  • Notably, once again the bulk of the downward revision to Q3 (from 2.3 to 2.0% annualized yesterday) came at the start of the quarter, revised down -0.06pps to 0.12% M/M in July, rather than a more recent moderation trend.
  • It leaves a three-month rate dip back a tenth to 2.2% annualized, whilst the six-month drops four tenths to 1.9% annualized for its lowest since Sep 2020.

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