The United States’ Core Personal Consumption Expenditures (PCE) Price Index, the Federal Reserve’s preferred gauge of underlying inflation, accelerated to 3.2% year-over-year in March 2026, up from 3.0% in February 2026. The latest data, updated on 30 April 2026, signal that disinflation momentum may be slowing as underlying price pressures remain persistent.
Core PCE excludes volatile food and energy components, making it a closely watched measure of trend inflation. The March figure means prices in March 2026 were 3.2% higher than in March 2025, while February’s reading reflected a 3.0% increase versus February 2025. The uptick suggests that inflation is not easing as steadily as some policymakers and investors had hoped.
The year-over-year increase in March is likely to reinforce market attention on the timing and extent of any future monetary policy adjustments, as the Federal Reserve continues to weigh the balance between sustaining growth and ensuring inflation moves more decisively toward its longer-run target.
