Fed’s Preferred Inflation Measure Ticks Up in December

Elevated inflation should keep the Federal Reserve on hold, according to Charlie Ripley, senior investment strategist for Allianz Investment Management.

Shoppers at a grocery store in Centreville, Va. on Nov. 2, 2025. Madalina Kilroy/The Epoch Times

The Federal Reserve’s preferred inflation measure heated up in December as underlying price pressures persisted.

Inflation in the 12-month personal consumption expenditures (PCE) price index rose to 2.9 percent, from 2.8 percent in November, according to new Bureau of Economic Analysis data released on Feb. 20.