U.S. inflation matches forecasts as PCE rises 2.8% in February

The U.S. Commerce Department said on the 9th that the personal consumption expenditures (PCE) price index rose 2.8% in February from a year earlier. It increased 0.4% from the previous month, and the month-over-month and year-over-year gains matched the forecasts compiled by Dow Jones.

The core PCE price index, which excludes energy and food, rose 3% from a year earlier and 0.4% from the previous month. That also matched expectations.

The PCE price index is an inflation gauge that measures the prices U.S. residents pay when purchasing goods and services. The U.S. Federal Reserve refers to the PCE price index when assessing whether it is meeting its monetary policy goals.