Key takeaways
- Supercore inflation purposefully ignores highly volatile areas of the economy, like housing, food and energy, to give a clearer picture of inflation
- Food inflation increased 10.4% year-over-year in December, while energy inflation eased to 7.3%
- Shelter inflation is up 7.5% year-over-year
We all see the headline inflation number, but it doesn’t tell the whole story. This is because the CPI report includes many items that can have volatile price swings that distort the overall inflation number. This is why core inflation is also reported. However, some economists believe this isn’t good enough and we should focus on supercore inflation.
Here is what supercore inflation is and how some of the areas it excludes have been impacting overall inflation. Plus, here’s how Q.ai can help in inflationary times.
Support authors and subscribe to content
This is premium stuff. Subscribe to read the entire article.
Login if you have purchased