| The trimmed mean PCE inflation rate is an alternative measure of core inflation in the price index for personal consumption expenditures (PCE). It is calculated by staff at the Dallas Fed, using data from the Bureau of Economic Analysis (BEA). |
|
December 2011
The trimmed mean PCE inflation
rate for December was an annualized 1.5 percent. According
to the BEA, the overall PCE inflation rate for December
was 0.8 percent, annualized, while the inflation rate
for PCE excluding food and energy was 1.9 percent.
The tables below present data
on the trimmed mean PCE inflation rate and, for comparison,
the overall PCE inflation and the inflation rate for
PCE excluding food and energy. The tables give annualized
one-month, six-month and 12-month inflation rates.
| One-month PCE inflation, annual
rate |
| |
Jul-11 |
Aug-11 |
Sep-11 |
Oct-11 |
Nov-11 |
Dec-11 |
| PCE |
4.5 |
3.3 |
2.0 |
-0.6 |
-0.1 |
0.8 |
| PCE excluding food
& energy |
2.4 |
2.1 |
0.0 |
0.9 |
1.5 |
1.9 |
| Trimmed mean
PCE |
2.3 |
2.2 |
1.4 |
1.2 |
1.6 |
1.5 |
|
| Six-month PCE inflation, annual
rate |
| |
Jul-11 |
Aug-11 |
Sep-11 |
Oct-11 |
Nov-11 |
Dec-11 |
| PCE |
3.2 |
2.9 |
2.4 |
1.6 |
1.3 |
1.7 |
| PCE excluding food
& energy |
2.2 |
2.3 |
2.0 |
1.8 |
1.5 |
1.5 |
| Trimmed mean
PCE |
2.0 |
2.0 |
2.0 |
1.8 |
1.7 |
1.7 |
|
| 12-month PCE inflation |
| |
Jul-11 |
Aug-11 |
Sep-11 |
Oct-11 |
Nov-11 |
Dec-11 |
| PCE |
2.8 |
2.9 |
2.9 |
2.7 |
2.6 |
2.4 |
| PCE excluding food
& energy |
1.6 |
1.7 |
1.6 |
1.7 |
1.7 |
1.8 |
| Trimmed mean
PCE |
1.6 |
1.7 |
1.7 |
1.8 |
1.8 |
1.8 |
|
| NOTE: These data are subject
to revision |
The following chart plots the
evolution of the distribution of price increases in
the monthly component data over the past year. The chart
shows the percentage of components each month, weighted
by their shares in total spending, for which prices
grew between 0 and 2 percent (at an annual rate); between
2 and 3 percent; between 3 and 5 percent; between 5
and 10 percent; and more than 10 percent.

| Links
Note
- See the technical note
that explains the revision to the Trimmed Mean PCE.
Related Publications
and Resources
- "A
Fitter, Trimmer Core Inflation Measure"
by Jim Dolmas, Federal Reserve Bank of Dallas
Southwest Economy, May/June 2005
- “Trimmed
Mean PCE Inflation”
by Jim Dolmas,
Federal Reserve Bank of Dallas Research Department
Working Paper 0506, provides a more detailed
look at the methodology behind the trimmed mean
inflation rate.
- The Cleveland
Fed's median CPI
is a forerunner
and close relative of the trimmed mean PCE inflation
rate.
2012 Release Dates
- March 1
- March 30
- April 30
- June 1
- June 29
- July 31*
- August 30
- September 28
- October 29
- December 30
- December 21
*Revision month; release will probably be delayed by a few days.
More Information
- To request additional data or for technical
questions, e-mail Jim Dolmas.
E-mail Alert
- Subscribe to the Trimmed
Mean PCE Inflation Rate e-mail alert to be notified
when the latest report is released.
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