FED will keep raising rates , PCE comes in hot The gold market remains on the back foot but is seeing little movement as rising inflation remains a persistent threat to the economy and remains well above the Federal Reserve's target of 2%.
Friday, the U.S. Department of Commerce said its core Personal Consumption Expenditures price index increased 0.6% last month, up from December's revised reading of 0.4%. Inflation came in hotter than expected, with consensus forecasts looking for a rise of 0.4%.
In the past 12 months, core PCE, the Federal Reserve's preferred inflation gauge, rose 4.7%, up from December's rise of 4.6%. Economists expected annual inflation to rise by a much smaller amount of 4.3%.