what is CORE inflation DATA

Core inflation is a measure of inflation that excludes certain items that tend to have more volatile prices, such as food and energy. These items can fluctuate significantly in price due to factors such as weather, natural disasters, and global demand, and as a result, they can distort the overall inflation picture. By excluding these items, core inflation gives a clearer picture of the underlying trend in prices.

There are several different measures of core inflation, depending on which items are excluded and how the index is constructed. Some common measures of core inflation include:

• The core Consumer Price Index (CPI), which excludes food and energy prices
• The core Personal Consumption Expenditures (PCE) price index, which is similar to the CPI but includes a wider range of goods and services and is preferred by the Federal Reserve as a measure of inflation
• The trim mean PCE price index, which is similar to the PCE index but excludes a certain percentage (usually around the top and bottom 15%) of the most extreme price changes

Core inflation data is typically released alongside the overall CPI or PCE data, and is closely watched by policymakers and investors as a gauge of underlying inflationary pressures in the economy.