FX.co ★ US Core PCE Prices Rise 0.3% as Expected

The US core Personal Consumption Expenditures (PCE) price index—the Federal Reserve’s preferred gauge of underlying inflation—rose 0.3% month over month in September 2026, matching both August’s increase and market expectations. On an annual basis, core PCE inflation edged up to 3.1% from 3.0% in August, in line with forecasts and marking its highest level since May. Although broadly anticipated, the reading remains well above the Fed’s 2% target, reinforcing concerns that higher energy costs may be feeding through into broader inflationary pressures.