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Crude Oil Forecast: Inventory Increase vs PCE Data
Why is the Personal Consumption Expenditures (PCE) the Fed’s favored inflation gauge over the CPI? • It includes a wider range of goods and services • It better captures changes in consumer spending patterns and preferences • It updates over time, providing a more accurate and consistent measure of inflation How can the PCE data affect oil prices? As market anticipations lead the trends, a decrease in inflation metrics can have a positive demand outlook for oil prices, as the trend of contractionary policies would be considered to start its reversal. The market is eagerly waiting for the latest PCE data to ... (full story)