Fed's favored inflation gauge shows consumer prices remained elevated in August
1. August's PCE index shows inflation pressures at 2.7%, above Fed's target. 2. Core PCE rose to 2.9%, indicating persistent inflation despite interest rate cuts. 3. Goods prices increased, influencing overall inflation trajectory, concerns for policymakers. 4. Savings rate decreased slightly to 4.6%, a potential signal of consumer behavior changes. 5. Fed remains cautious of tariff impacts on future inflation and economic stability.