You can see why some people are calling for the Fed to raise their inflation target from 2% to 3% or even 4%.* There are some sticky components in the aggregate numbers.
From the Federal Reserve Bank of Cleveland, November 12:
| Month | CPI | Core CPI | PCE | Core PCE | Updated |
|---|---|---|---|---|---|
| September 2023 | 3.84 | 4.29 | 3.63 | 3.89 | 09/11 |
| August 2023 | 3.82 | 4.46 | 3.65 | 4.03 | 09/11 |
| Note: If the cell is blank, it implies that the actual data corresponding to the month for that inflation measure have already been released.... | |||||
....MORE
The August numbers are the ones being reported tomorrow, September next month and not a lot of improvement is expected in the YoY presentation. Slightly better in the month-over-month but still sticky. The Cleveland Fed will be making their final NowCast update for the August numbers later today.
*Oddly enough, many of the people calling for the Fed to raise the inflation target are the same people who said there was no inflation in April 2021, that there was inflation but it was transitory in September 2021, that the inflation was because of used car prices in December 2021, that people should eat lentils rather than meat in March 2022, that....
Well, you get the picture, you were there, you saw and heard all the gaslighting.
