#PCEInflationWatch The Personal Consumption Expenditures (PCE) Price Index is a key indicator used by the Federal Reserve to gauge inflation in the United States. Unlike the Consumer Price Index (CPI), which measures out-of-pocket expenditures, the PCE Price Index captures a broader range of expenditures, including those made on behalf of consumers, such as healthcare services paid by employers or the government. This comprehensive approach provides a more accurate reflection of consumer spending patterns. Monitoring the PCE Price Index is crucial for understanding inflation trends, as it influences monetary policy decisions aimed at maintaining economic stability. Recent data indicates that the PCE inflation rate has been fluctuating, prompting discussions on potential adjustments to interest rates to manage economic growth and control inflation.