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GS and Nomura Also See Modest Changes To Core PCE Estimates After PPI

US OUTLOOK/OPINION

Two other modest changes to core PCE estimates after today’s PPI release:

  • GS: “We estimate that the core PCE price index increased 0.25% in April, corresponding to a year-over-year rate of +2.76%.” They had estimated core PCE at 0.22% M/M prior to today’s PPI release.
  • Nomura: “Our updated forecast for April core PCE inflation is 0.240% m-o-m, down slightly from 0.244% previously. [...] We estimate the contribution from PPI-related components to m-o-m April core PCE inflation to be +4bp, smaller than the contribution of +8bp in March."

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