Keeping you up to date on the latest data releases.
- PCE Price Index
The Personal Consumption Expenditures (PCE) price index fell at an annualized rate of 3.0 percent in April, which marks the second consecutive monthly decline in the index. Since April of last year, PCE prices have increased just 0.7 percent, as the year-over-year changes in the index have gradually declined since reaching 1.8 percent in October of 2012. For the second straight month, the decline in the price of energy goods and services, which is a volatile component of the price basket, was a major contributor to the monthly decline in PCE prices. The price index for energy goods and services fell 42.1 percent during April, and is down 4.2 percent since last year. The core PCE price index, which excludes food and energy prices, increased just 0.1 percent in April, following increases of 0.9 percent and 0.7 percent in February and March, respectively. On a year-over-year basis, core PCE prices have increased 1.1 percent. The 12-month percent changes in core PCE prices have gradually fallen since early last year, when the year-over-year change in core PCE prices reached 2.0 percent in March 2012. Since the beginning of 2013, however, 12-month percent changes have averaged just 1.2 percent. The market-based core PCE price index, which also excludes most imputed prices, decreased at an annualized rate of 1.0 percent, the first decline in this index since May of 2001. On a year-over-year basis, market-based core PCE prices have increased just 1.1 percent.