Updates to how the U.S. measures inflation knock the PCE price index lower, but the newer series remains well above the Federal Reserve’s target, according to multiple analyses. The revisions reflect “massive” methodological changes that alter how the index is calculated and reported.
While both outlets focus on the same broad conclusion—that the updated PCE inflation measures do not return to the Fed’s goal—their emphasis differs. Wolf Street highlights that even with the revised methodology, the PCE figures stay far above target, implying the underlying inflation pressure is not fully explained away by measurement changes. The Seeking Alpha coverage centers on the same methodological point but frames it as a test of whether revised measurement can meaningfully change the inflation narrative.
Taken together, the reporting indicates that statistical and methodological revisions reduce the measured inflation level compared with older data, yet do not eliminate the gap between current PCE inflation trends and the Fed’s stated objective.
