📊Dallas Fed Trimmed Mean PCE Short-Term Measures Ticking Up: Cable FX Macro

• The Trimmed Mean PCE is often viewed as a cleaner signal of medium-term inflation trends because it is less sensitive to volatile items. At 2.3%, it suggests inflation is moving closer to target but not yet fully there, especially with headline PCE rising to 3.8% in April due to broader price pressures.

• The Trimmed Mean has shown more stability and a slightly softer trend than the official core PCE (which excludes only food and energy). This divergence has been notable since late 2025.

• However, 1-month and 6-month metrics are picking up momentum at 2.55% and 2.33%, respectively.