FX.co ★ US Core PCE Inflation Ticks Up to 3.1% in January, Slightly Above December Reading

The United States’ Core Personal Consumption Expenditures (PCE) Price Index rose 3.1% year-over-year in January 2026, a marginal acceleration from the 3.0% annual increase recorded in December 2025. The data, updated on 13 March 2026, indicates that underlying inflation pressures edged slightly higher at the start of the year.

The Core PCE index, which excludes volatile food and energy components, is closely watched as a gauge of underlying inflation trends. The January figure compares price changes in January 2026 with those in January 2025, while the December reading reflected a comparison with December 2024. The slight uptick suggests that, on a year-over-year basis, core price growth has not yet resumed a clear downward path.

The latest data will likely feed into ongoing assessments of inflation dynamics in the US economy, as investors and policymakers monitor whether the modest rise in the core measure signals a temporary fluctuation or a more persistent stabilization of inflation above the 3% level.