core inflation

noun

economics
: a measure of inflation that excludes items having volatile prices (such as fuel and food) from the price index being used
The Federal Reserve's past emphasis on core inflation, which strips food and energy from the price indexes in order to gauge the underlying trend of prices, has always confused both Wall Street and Main Street.James C. Cooper
compare headline inflation

Examples of core inflation in a Sentence

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Through year’s end, the Fed is expecting 2.4% headline inflation, a slight increase from 2.3% in its September projections, and 2.8% core inflation, up from 2.6%. Rocio Fabbro, Quartz, 23 Dec. 2024 As a consequence, economists at Goldman Sachs have forecast that core inflation would amount to 2.7% by the end of 2025. Compiled Bydemocrat-Gazette Stafffrom Wire Reports, arkansasonline.com, 12 Dec. 2024 Economists view core inflation as a critical indicator of longer-term price trends, making this uptick particularly noteworthy. Yaakov Katz, Newsweek, 27 Nov. 2024 Year-on-year consumer inflation rates accelerated in November for the Consumer Price Index, Personal Consumption Expenditures inflation, and PCE core inflation. Jason Schenker, Forbes, 10 Jan. 2025 See all Example Sentences for core inflation 

Word History

First Known Use

1979, in the meaning defined above

Time Traveler
The first known use of core inflation was in 1979

Dictionary Entries Near core inflation

Cite this Entry

“Core inflation.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/core%20inflation. Accessed 26 Jan. 2025.

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