This Inflation Report Puts Pressure on the Fed | S3 E162 | 08-26-26

The July PCE inflation report came in hotter than expected, with the Fed's preferred inflation gauge rising 0.2% month over month against a forecast of just 0.1%. Core PCE now sits at 3.3% year over year, unchanged from the prior month but still well above the Fed's 2% target. Megan breaks down what the data actually shows beneath the headlines. This matters because the Fed chairman speaks at Jackson Hole this week, and markets are watching closely for any hint of tone on where rates go next...