["New Federal Reserve News Service": If core commodity prices continue to rise, service prices must slow down more significantly] October 29th, "New Federal Reserve News Service" Nick Timiraos: Core PCE service prices (excluding housing) rose by 0.37% in September, pushing the 12-month year-on-year increase to 3.6%, which is the same as the highest reading since 2024. Core commodity prices also performed strongly, rising 0.20%. During 2024, core commodity prices had declined year-on-year (which was consistent with pre-pandemic trends), but they have now increased by 2%. If core commodity prices continue to rise at this rate in the future, service prices must slow more significantly for the Fed to be able to achieve its 2% inflation target.