Core CPI

Consumer Price Index excluding food and energy — captures underlying inflation trend.

In depth

Food and energy prices are volatile due to weather, geopolitics, etc. Core CPI smooths through these shocks to show "sticky" inflation. The Fed pays more attention to core than headline. "Supercore" excludes housing too.

Related terms

CPI (Consumer Price Index)

The most-watched measure of inflation — tracks changes in prices of a basket of consumer goods.

Inflation

The rate at which prices rise across the economy over time.

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