On a three-month annualized basis, the core PCE price index advanced 1.7%, the slowest this year, reinforcing the wisdom of Fed interest rate cuts next month.
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This is an upward revision, reflecting stronger consumer spending on goods and services—particularly in healthcare, housing and utilities, and recreation.
If officials could know with confidence where the neutral rate of interest lay, they could just move there and declare victory. But it's not that simple.