A key inflation gauge the Federal Reserve tracks closely when setting interest rates jumped in June to its highest level in 40 years, suggesting the Fed’s fight to take the sting out of price pressures may be drawn out.
The Personal Consumption Expenditures (PCE) price index, released on July 29 by the Bureau of Economic Analysis (BEA), rose from an annualized 6.3 percent in May to 6.8 percent in June—marking the fastest pace of year-over-year price acceleration since 1982.
