Fed officials had been hoping this fall for a clean downtrend in inflation, allowing them to focus more fully on preventing an economic downturn. The data hasn't cooperated. Over the 12 months through October,

The Federal Reserve’s preferred measure of underlying inflation accelerated in October from a year ago, helping explain policymakers’ more cautious approach to lowering interest rates.

The Federal Reserve’s preferred inflation measure remained above the central bank’s 2% target pace in the year through October, as progress on slowing price growth appears to have stalled in late 2024.

The core version of the Fed’s preferred 12-month inflation gauge ticked back up to 2.8% as expected last month.

The Commerce Department released data showing that PCE inflation ticked higher in October, though the Federal Reserve's preferred inflation gauge remained near last month's level.

October's Personal Consumption Expenditures report is the latest data the Fed will consider in its next interest rate decision.

The core PCE inflation measure is half of its 2022 peak, but it’s higher than it ever was from 1994 to 2020 as price increases continue to plague consumers.

October's increase in the core PCE (personal consumption expenditure) price index is expected to hang out at +0.3% month-over-month, the same as in September, according to economists' consensus. It highlights the difficulty in wringing the last bit of disinflation out of the current inflation rate to bring it down to the Federal Reserve's 2% goal.