Today’s personal incomes data showed yet another batch of inflation data with hardly a whiff of inflation:
“The Personal Consumption Expenditure (PCE) price index rose at an annualized rate of 1.0 percent in September, compared to an increase of 2.3 percent in August. Excluding food and energy prices (core PCE), the index was roughly flat (up 0.3 percent on an annualized basis). However, this followed a downward revision in August—from a 1.4 percent gain to 0.8 percent. increased 1.4 percent. That revision to July and August’s data knocked the 12-month growth rate in the core PCE down from 1.4 percent to 1.3 percent through August. After adding in September’s flat reading, the 12-month growth rate ticked down another 0.1 percentage point to 1.2 percent.”
Source: Cleveland Fed
Mr. Roche is the Founder and Chief Investment Officer of Discipline Funds.Discipline Funds is a low fee financial advisory firm with a focus on helping people be more disciplined with their finances.
He is also the author of Pragmatic Capitalism: What Every Investor Needs to Understand About Money and Finance, Understanding the Modern Monetary System and Understanding Modern Portfolio Construction.