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Core personal consumption expenditures (pce) inflation is running about 60 basis points above core consumer price index (cpi) inflation, according to Anna Wong. This positive gap is an anomaly, having occurred in only 3.4% of observations since 1959.
Wong credits another expert for analyzing the reasons behind this unusual divergence, emphasizing important implications for core pce inflation.
Wong has written previously about macroeconomic shocks affecting key indicators. In April, she predicted that oil prices could rise to $150-$200 within two months due to possible escalation related to Trump. She also noted the Federal Reserve's upgrade to GDP growth forecasts despite the Iran conflict and rising oil prices.