Home » Economy » June core PCE signals inflation remains at ‘unacceptable level’: Former Atlanta Fed president
June core PCE signals inflation remains at ‘unacceptable level’: Former Atlanta Fed president
Inflation remains at ‘unacceptable level’ following June core PCE report: Former Atlanta Fed president
Former Atlanta Federal Reserve president and CEO Dennis Lockhart argues the U.S. economy isn’t making progress ‘that we need.’
After the Federal Reserve’s favorite inflation gauge read hotter than expected, one former Fed official weighed in on where inflation and the future of the U.S. economy is heading on "Mornings with Maria" Friday.
"Inflation remains persistent and remains elevated at an unacceptable level," former Atlanta Federal Reserve president and CEO Dennis Lockhart told FOX Business’ Maria Bartiromo. "And I don't think we should doubt the Fed's commitment to continue to fight that inflationary trend."
The personal consumption expenditures index showed that core prices, which strips out the more volatile measurements of food and energy, climbed 0.6% from the previous month and rose 4.8% on an annual basis, according to the Commerce Department. Those figures are both higher than the 0.5% monthly increase and 4.7% annual increase forecast by Refinitiv economists.
The more encompassing headline figure rose 6.8% on an annual basis, hitting a fresh 40-year high as gas prices surged, while inflation jumped 1.0% from May to June, tying its biggest monthly gain since 1981.
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"My quick and dirty assessment of the numbers that we've just presented is it's pretty flat at the moment," Lockhart said. "So we're not seeing a worsening inflation situation, we're just not making the progress that we need."