Inflation rose to the amount that the Fed had predicted for the month of February. The PCE index had increased by 0.3% from the previous month. It should be noted that the fed targets around 2 percent inflation annually but has not been below that in years. These numbers were not the best but are obviously not surprising based on the last months forecast for the number. Typically, the forecasts are not a good indicator, but this past month the fed seemed to predict it on the money. Part of the reason is due to the rising energy costs in the United States. Consumer spending and goods also increased with inflation, which were both major contributors to the increase. Another note was that personal income increased slower than predicted.
If the economy was predictable, that has to be a good sign. Hopefully it gives them more insight to do whatever it is to improve it.
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