Inflation Cools as Fed's Preferred Gauge Shows Signs of Price Increases Slowing

The Federal Reserve's preferred inflation gauge, the personal consumption expenditures (PCE) price index, showed its biggest monthly increase since May, indicating rising inflationary pressures. The PCE price index rose by 0.6% in November, surpassing expectations, driven by higher energy prices and supply chain disruptions. This data suggests that inflation remains a concern for the central bank as it continues to monitor economic conditions and consider its monetary policy approach.